Just 180 people had a deal known personal insolvency arrangement (PIA) approved in the July to September period. This was down by five PIAs in the same quarter last year.
A PIA allows a person to reduce what they are paying, and return to solvency while staying in their home. There was also a fall in the number of bankruptcies of 26pc to just 61 the third quarter. In the year so far, a total to 345 people were declared bankrupt, compared with 479 for full-year 2015. This is despite the term for bankruptcy being reduced recently to one year.
Insolvency Service director Lorcan O’Connor said: “Large numbers of people are still struggling to pay their mortgages. The number of people two years or more in arrears on their mortgages was close to 35,000 in June, down slightly from the previous quarter, separate Central Bank figures show Those in arrears for more than two years risk losing their homes. This quarter saw continued growth in new applications with protective certificates and approved arrangements at similar levels to last quarter. When compared to the same period last year, there is significant growth in all categories.”
So far, some 4,000 people have gone through different processes overseen by the Insolvency Service to return to solvency.