PEOPLE who wish to avail of new personal insolvency arrangements will have to get rid of any jewellery worth more than €750 under the conditions.
Applicants who apply for the Debt Relief Notice – where debt does not exceed €20,000 – will only be allowed keep one piece of jewellery as part of their assets. The conditions attached to the DRN say the value cannot exceed €750.
This means that if an engagement or wedding ring costs more than the amount described, the applicant may have to get rid of it.
The conditions contain no special arrangements for engagement rings and wedding rings.
Under the conditions, issued by the Insolvency Service of Ireland yesterday, DRN applicants must show that they have a net monthly disposable income of €60 a month after all expenses are paid.
They will have assets of €400 – although the guidelines stipulate that they are allowed one piece of jewellery that does not exceed €750.
The applicant will be allowed keep a car that is not worth more than €2,000.
Household equipment and/or tools cannot exceed €6,000.
In the initial proposals tabled in December of last year, applicants were allowed to keep jewellery that didn’t exceed €400, and cars not valued more than €1,200.
Not surprisingly, this attracted huge controversy.
Justice Minister Alan Shatter revised both – bringing the amount for jewellery up to €750 and €2,000 for cars.