insolvency Patricia Gilhooly

Personal Insolvency – What’s Involved?

Patricia Gilhooly is authorised by the Insolvency Service of Ireland to carry on practice as a personal insolvency practitioner (PB00067).
The Personal Insolvency Act, 2012 was enacted to create a framework to deal with the extensive amount of unsustainable personal debt existing the country.
The table below details some of the issues relating to the process.
Patricia Gilhooly does not act in respect of Debt Recovery Notices (DRN). These are handled by Approved Intermediaries such as MABS ( or FLAC (


5 Steps to Peace of Mind:

  • Initial telephone call/email to PIP
  • One to one meeting
  • Application for Protective Certificate
  • Create a sustainable debt payment plan
  • Get formal approval of plan

Personal Insolvency – The Process

Patricia Gilhooly understands that the Personal Insolvency process is difficult, stressful and traumatic for the Debtors involved.
I will aim to make the process as simple and understandable as possible.
In essence the process can be broken down into the following stages:

  1. Debtor realises that they cannot meet their day to day cash obligations.
  2. Debtor attempts to negotiate with creditors without success.
  3. Debtor contacts a Personal Insolvency Practitioner (PIP).
  4. PIP reviews the financial status of the debtor and considers options.
  5. If both PIP and Debtor believe that a viable plan can be devised then an engagement letter is agreed and signed.
  6. PIP and Debtor ensure that financial disclosures match those required in Prescribed Financial Statement (PFS).
  7. PIP applies for Protective Certificate and if successful notifies all creditors
  8. Notified creditors cannot contact Debtor for 70 day period of Protective Certificate.
  9. Within 70 days PIP develops workable arrangement to meet legislation terms.
  10. Debtor and majority (65%/50% as appropriate) of creditors must approve arrangement before presenting to Court for approval
  11. If approved Debtor complies with terms of arrangement for the duration of the arrangement and forwards appropriate monies to the PIP for distribution to the creditors
  12. At the end of the term of the arrangement the debts will have been restructured/written off/paid down in accordance with the terms of the arrangement.

Frequently Asked Question DSA PIA Bankruptcy
What debts qualify ? Unsecured Only Secured < €3m Unsecured All Debts > €20k
Do I have to eventually pay all the debt ? No No No
Is Interest Frozen during arrangement period ? Yes, if approved Yes, if approved Yes
Do my creditors have to agree to the proposal ? Yes, 50% Yes, 65% in total & at least 50% of Secured & Unsecured No
Are all debts included ? Secured debt and excluded debt not included. Excluded debt not included Yes
How long is the arrangement ? 5 or in cases 6 yrs 6 or in cases 7 yrs 3 Yrs but conditions can extend to 8 yrs
Do I have to keep my part of the arrangement ? Yes or else deal fails Yes or else deal fails N/A
Can my creditors contact me or hassle me in any way ? No No No

Patricia Gilhooly

is authorised by the Insolvency Service of Ireland to carry on practice as a Personal Insolvency Practitioner (PB00067).

  • Initial No Obligation Consultation Free
  • Transparent Fee Structure agreed in advance – no shocks
  • Meetings arranged to suit the client