David Cullinane (Sinn Fein) | Oireachtas source

I move amendment No. 15:

In page 26, subsection (2)(a), line 10, to delete ?¤20,000? and substitute ?¤30,000?.

The rationale for this amendment is straightforward and I know the matter was discussed in the Lower House. The purpose is to broaden the criteria in regard to the debt relief notice. As with many of the proposed amendments dealing with the debt relief notices, the Free Legal Advice Centres has lobbied all Oireachtas Members in this area. It has some genuine concerns and has been helpful about interventions it believes would be necessary to strengthen the Bill. It recommends increasing the applicable debt limit from ¤20,000 to ¤30,000. As it stands, people who are fundamentally insolvent and have debts of between ¤20,000 and ¤30,000 will be forced to apply for a debt settlement arrangement. We believe such applications are more likely to be rejected by way of a creditor veto because the debtors concerned will have very little positive influence in terms of the assets to offer. I also understand Fianna Fáil has tabled a similar amendment with a higher threshold of ¤50,000. The Minister might argue it is subjective opinion. However, we should take note of FLAC's recommendation to broaden the criteria.

While we have some concerns over certain aspects of the Bill, we will be supporting it. We recognise the new mechanisms, including the debt relief notices, will provide some comfort and hope to people. The Minister is trying to strike a balance between the rights of the debtor and the creditor, as he clearly explained in his previous responses. However, it is also reasonable for us to point out ways in which we believe the Bill can be strengthened. In that vein we are trying to be helpful and take on board suggestions made by outside bodies that have significant expertise in the area. We believe those views should be considered.