Insolvency in Ireland after moving to the UK?

[brownsarahj]

My husband and I moved to Manchester in 2015 and slowly finding our feet again after a few difficult years financially speaking.

We have been in dispute with the EBS and are asking for contributions which far exceed what we can feasibly pay. We can not reach an agreement and have been back and forth showing them our current pay slips, bank accounts and SFS and they are insisting we repay far more than we can afford.

We are considering declaring bankruptcy in Ireland as we have no intention of returning and are committed to making the UK our home (hubby is a Mancunian and all his family are here)

Does anyone know what this does to our status in the UK? Is our credit rating affected here?

Has declaring insolvency become easier in Ireland now? I seem to remember reading that it was it actually difficult / expensive to do this some years ago but I presume it has become simpler.

Any advise would be great.

My greatest fear is that since we cannot agree with the bank, they get a judgement against us and we end up in court, even threatened with jail if we cannot pay.

 

[TLO]

Hi brownsarahj

A couple of observations:

1) Don't be worrying about jail. Disputes regarding money are normally civil rather than criminal matters.
2) You have the option of applying for bankruptcy in Ireland or England.
3) The process in Ireland is cheaper but it involves a petition to the High Court in Dublin.
4) The process in England is more expensive but it is simpler, and can be initiated by completing a form online.
5) Bankruptcy lasts for a year in both jurisdictions, with a possible additional 2 years payments of surplus income.
6) An Irish bankruptcy would probably not be picked up by the UK credit reference agencies, but, if you apply for credit in the UK and are asked "have you ever gone bankrupt?" you will still need to answer yes. Otherwise you leave yourself open to an accusation of telling "porkies" during a credit application.

 

[Jim Stafford]

In order to go bankrupt in Ireland you would need a letter from a Personal Insolvency Practitioner to exhibit to the High Court. I believe that you would find it difficult to obtain such a PIP letter as it appears that you have moved your COMI (Centre of Main Interests" to the UK.)

Your UK credit rating would only be affected if EBS obtained judgment against you in the UK courts.

Jim Stafford