What Is Personal Insolvency Arrangement & How It Works?

A Personal Insolvency Arrangement (PIA) is an insolvency solution for people with unsecured and secured debts. It is a process that gives debt relief if you have secured debt and or unsecured debt that you can't repay. It helps to cover secured and unsecured debts. The debt can write off and restructured. The arrangement is a legally binding arrangement between you and your creditors. It is an insolvency solution for people with unsecured and secured debts. It is an option for secured debts, such as mortgages, and unsecured debts, such as credit card loans or personal loans. PIA insolvency is an agreement with your creditors to pay all or part of your debts.

PersonalInsolvency Arrangement allows a debtor to propose to creditors to settle debts without becoming bankrupt. It is a negotiated contract between a debtor and the banks. It is a statutory arrangement between an insolvent debtor and their creditors. The arrangements are broadly similar to those for a debt settlement arrangement. PIA allows people who cannot meet their debts to find a resolution through an agreement that involves debt write-downs and a restructured loan. It is suitable for the agreed settlement of the secured and unsecured debt. It is a flexible way to settle debts without becoming bankrupt.