Open consultation for bankruptcy rule changes

The Oireachtas Justice Committee is having an open consultation for people who want to give their view on changing the bankruptcy rules so that a person is discharged after 1 year rather than the present standard of 3 years.

The page with the details can be found here, it closes on the 19th of June.

Our view is that 1yr would be of benefit to the people involved and give some extra creditor compulsion to dealing with debtors. On the other hand, there may be concerns about creditor lead petitions as well as ‘payment orders’ that could still go well beyond the one year term.

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BankruptcyAdvice.ie mentioned in the Irish Independent

The Irish Independent ran an article today on bankruptcy and mentioned BankruptcyAdvice.ie in it. It focused on the fees that are being charged and how the promoters of New Beginning felt that they were offering value for the level of professional service they offer.

We agree that they are professionals and well equipped for this type of work, as for the costs, they aren’t in the same market at all times as our firm, we have a DIY bankruptcy option they are not offering, with them you only get a full service option.

They are however, regulated for debt advice whereas some competitors are not and some may do work cheaper or more expensive and not offer the same services so it’s difficult to make proper comparisons and for that reason you need to know what you are getting and paying for.

Being regulated by the Law Society (for solicitors), the Bar council (barristers) and the Central Bank (financial advisors) or ACCA (for accountants) means you can’t possiblty work as …

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Can you get bankruptcy representation ‘for free’

This is something we are hearing about more often in the media, that some organisations are doing this ‘for free’ for their clients. We are highly skeptical of this message as in the first instance there is no ‘free’ bankruptcy process in Ireland.

There are certain expenses which will have to be paid irrespective of what advice you get, payments to the Official Assignee and other application fees that are set costs laid down by the various branches of the state such as the Examiners Office.

Then you have professional services such as solicitors, barristers, accountants, financial advisors and potentially others. That they would all work ‘for free’ is true in some instances, most of us in industry do a certain amount of pro-bono work, but it isn’t a business model without funding, meaning it can’t be broadlyl offered.

Some representation groups have said in the past that they work for free but time and again what we have seen is that the do charge, they may say they only charge in some cases, but after a while there are …

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