The Insolvency Service of Ireland (ISI) is an independent government organisation set up to help sort out personal debt problems and help get people back on track.
Your professional advisor (also known as a Personal Insolvency Practitioner) will deal with your creditors on your behalf, putting an end to any demands for unpaid debt - no more phone calls, letters or visits.
A DSA is a legally binding arrangement between you and your creditors; so it cannot be changed without the agreement of both parties, meaning no surprise changes such as additional interest or charges added along the way.
While making these repayments you are entitled to a reasonable standard of living. You will not be told how you should spend your allocated reasonable living expenses, so you are still in complete control of your spending.
Once your final agreed monthly repayment is made and you have kept to the terms of the arrangement, your creditors will write off your remaining unsecured debt.
Entering into a DSA should indicate to potential lenders that you are proactively addressing your financial situation, and on completion of the arrangement you will be solvent, which means you could be more eligible to obtain credit. However, the decision on whether or not to give credit is up to the lender and this is always the case.
How much will it cost me to apply?
Just like any other professional providing a service, a PIP may charge a consultation fee in order to determine if you are eligible to apply. After that, any PIP fees are usually built into the DSA repayment plan.
If you are in arrears on your home mortgage you could be eligible for a free PIP consultation under a new State-funded scheme.
There is no application fee as the ISI has waived its fees.
How do I get a DSA?
First, arrange to meet with a Personal Insolvency Practitioner (PIP). Part of a network of qualified professional advisors regulated by the ISI, each PIP is an expert in debt advice, so don’t feel embarrassed about your situation; they can and want to help you reach a solution. They will assess your options and prepare a tailored solution that best suits your needs.
PIPs are located around the country and contact details can be found here or by calling the ISI’s information line 076 106 4200.
