Dáil Éireann Debate, Thursday - 19 July 2012
582 Deputy Terence Flanagan asked the Minister for Justice and Equality his views on a matter (details supplied) regarding the Personal Insolvency Bill; and if he will make a statement on the matter. [36332/12]
Amharc ar fhreagraTwo of the proposed arrangements in the Personal Insolvency Bill — Debt Settlement Arrangement and the Personal Insolvency Arrangement — will require the involvement of a Personal Insolvency Practitioner. The intention is that the Personal Insolvency Practitioner will act as an intermediary between the debtor and his or her creditors. The Bill sets out in some detail the duties of the Practitioner from initial assessment of the debtor's suitability for a particular arrangement, to negotiation of the arrangement and through to its completion. The role of the Practitioner is critical to the proper functioning of the debt settlement arrangements as it is vital that debtors be properly and independently advised as to the implications of all options available to them prior to arriving at a decision. The average debtor is at a disadvantage vis a vis credit institutions and other creditors in terms of experience, advice and expertise. Once a debt settlement is agreed and registered, the Personal Insolvency Practitioner effectively becomes the custodian of the arrangement.
The provisions of this Bill will require careful consideration by all potentially concerned with its provisions. I would stress, however, that individual circumstances vary and that the solutions found within the context of the Debt Settlement Arrangement and Personal Insolvency Arrangement processes will also vary. I must emphasise that the Bill makes it clear that those persons experiencing difficulties in regard to debt must, primarily, engage with their lenders so as to seek to negotiate an appropriate settlement.
