Three new schemes
The are three new measures :
- Debt Relief Notice (DRN)
- Debt Settlement Arrangement (DSA)
- Personal Insolvency Arrangement (PIA) font>
these function as alternatives to the traditional remedy of bankruptcy, a High Court process governed by the Bankruptcy Act 1988. While bankruptcy continues to be available as the remedy of last resort, the Personal Insolvency Act 2012 makes significant changes to the Bankruptcy Act 1988. These changes include a requirement for the High Court to consider whether the debtor’s insolvency could, instead of bankruptcy, be more appropriately dealt with by means of a DSA or PIA under the Act.