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LET US SOLVE YOUR DEBT PROBLEMS:

LET US SOLVE YOUR DEBT PROBLEMS

The most stressful traumas that you may have to face in life arise from health, relationship and debt problems. PIPSolutions is a firm of personal insolvency practitioners (PIPS), which employ chartered accountant and solicitor PIPS to ensure that a solution can be found to your debt problems and there is always a solution.

We can’t promise you that the solution will not involve sacrifice but we can promise you that the solution will remove the stress and unbearable burden of your debts and will enable you to live comfortably within your means. Our service is unique, in that there is no up- front cost to you, arrangement costs are paid out of the arrangement and if we move to a bankruptcy petition, we don’t charge you a fee.  Why suffer the stress of unsustainable debt, when you can come to us for a solution to your debt problems?

Look at some of the following examples of the type of cases we deal with; if you can identify similarities with any of these cases you need to contact us to solve your debt issues. All income and expenditure figures are on a monthly basis and all names are fictitious. The set costs are the allowed living expenses set out by the Insolvency Service of Ireland.

Joe & Ann; Joe employed; 2 children.

Home Value   €150000                    Mortgage €250000           Monthly Mortgage Repayment €1649

 

Monthly Net Income                                      €2800

Allowed Living Expenses                               €1690

Contracted Mortgage Payment                    €1649

Monthly Deficit                                               €( 539)

 

 

SOLUTION: PIPSolutions would propose a 6 year insolvency arrangement reducing the mortgage to the current home value of €150000 payable over 20 years at €990 per month.  His would leave a balance due of €100000 and we would propose paying €120 per month for six years with the remaining balance written off at the end of the 6 year period.  Joe and Ann would live within the set cost guidelines for six years and at the end of this would be left with a sustainable mortgage. If the Mortgage provider rejects the arrangement PIPSolutions would move to bankruptcy. Joe and Ann would move to rented accommodation at say €750 per month and would pay their mortgage provider €360 per month for 3 years after which they would be completely debt free.

 

Joe & Ann; Both Unemployed; 2 children.

Home Value €150000                      Mortgage €250000           Monthly Mortgage Repayment €1649

 

Monthly Net Income                      €1750

Allowed Living Expenses               €1690

Contracted Mortgage payment    €1649

Monthly Deficit                              €(1589)

 

SOLUTION: In this case it is not possible for Joe and Ann to make any payment towards their negative equity property and PIPSolutions would propose an accelerated arrangement whereby the property is returned to the mortgage provider in return for a write off of the loan balance. If this were not accepted PIPSolutions would move to bankruptcy with no payment to the mortgage provider during the three year bankruptcy period. In either case Joe and Ann would be free of debt and able to get on with their lives in rented or state provided accommodation.

 

Joe & Ann;  Self-employed family business: 2 children.

 

Home and Mortgage are in joint names:  Other assets & Liabilities are in Joe’s sole name.

 

Home value €200000                      Mortgage €150000            Monthly Mortgage Repayment €990

 

Investment Property value €200000                        Investment Property Loans €400000

Investments €50000                                                       Overdraft & Unsecured loans €100000

 

Self -employed net Income                         €3500

Rental Income                                                    600

Allowed Living expenses                                 1690

Mortgage Repayments                                      990

Other Loan repayments                                  3200

Monthly Deficit                                              €(1780)

 

SOLUTION:  PIPSolutions would propose a six year arrangement in which, Joe and Ann would sell the investments and investment properties and would divide the proceeds among their creditors. They would live within their set costs and provide €820 per month for their creditors for six years. At the end of the six years their remaining unsecured loans would be written off and they would be left with a sustainable mortgage, their residence and their business. If the arrangement were to be voted down by creditors, PIPSolutions would move a bankruptcy petition for Joe but not Ann, who would purchase Joe’s positive equity in the residence from the bankruptcy trustee.  They would live within their set costs and pay any surplus to the bankruptcy trustee for 3-5 years.  They would retain their residence and continue to trade and be left owing the remaining balance on their mortgage at the end of the bankruptcy period.

 

Joe and Ann: Both employed; 2 children.  All assets and liabilities joint.

 

Home value €150000                      Mortgage €250000           Monthly Mortgage Repayment €1650

 

Investment Property Value €200000                       Investment Property Loans €350000

Unsecured Loans €50000

Monthly Net Income      €4500

Rental Income                      600

Allowed Living expenses  1690

Childcare                               500

Mortgage Repayments     1650

Loan Repayments             2640

Monthly Deficit              €(1380)

 

SOLUTION: PIPSolutions would propose a 6 year insolvency arrangement.  The investment property would be sold and the mortgage written down to the house value of €150000 with a monthly repayment of €990. Joe and Ann would retain the residence and would pay €1320 per month into an insolvency arrangement for 6 years. At the end of this period their only debt would be their reduced mortgage. If the arrangement were rejected by creditors PIPSolutions would move a petition to bankruptcy, Joe and Ann would move to rented accommodation and would pay the surplus income over their set costs, accommodation and childcare costs to a bankruptcy trustee for 3-5 years after which they would be debt free.

 

Don’t let debt get you down. Contact us at 1890252314 now.

Gerard Leahy for PIPSolutions.

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