Doing a "Donald Trump"

Don’t fear bankruptcy, it’s a potent weapon to make banks do a deal

Insolvency Bill gives more options for restructuring debt and will allow people to get on with their lives, writes Stephen Donnelly

‘The bankruptcy option may be far more preferable to trying to service an unsustainable debt’

THE new insolvency legislation is about to go live. Whilst imperfect, it means that borrowers are going to have new, meaningful options available to them by September — to restructure debts that are suffocating them, and to get on with their lives.

Last Saturday, I ran a ‘Debt Expo’ in Bray — a public forum to help people get back in control of their mortgages, and to explain the new insolvency options. To my surprise, I emerged that evening into glorious Wicklow sunshine with a renewed sense of optimism.

Several themes emerged from the experts. First, don’t wait any longer. If you know you’ve got a problem, get advice and act. Second, know the rules of the game. Read up on the Mortgage Arrears Resolution Process (MARP) and the insolvency options. When dealing with your bank, get everything in writing. Third, don’t be afraid of bankruptcy. It’s going to become common place, and is the most important threat available to force your bank to deal. If it’s required, just remember you’ll be debt-free in three years.

Here are answers to some of the specific questions raised on Saturday: 1. Our bank is refusing pointblank to restructure our mortgage, even though it’s clearly unsustainable — what are we doing wrong? Quite possibly nothing. Many banks still aren’t doing any meaningful restructuring. It may be that they’re waiting for the new insolvency legislation to kick in. 2. Okay, so where are we with the new legislation? The bill was signed into law last December and the Insolvency Service of Ireland, ISI, was established in March. It now has a website (www.isi.gov.ie), a public information phone line (076 106 4200) and guides on the three types of insolvency available. Personal Insolvency Practitioners, Pips, are currently being trained.

The ISI is aiming to start individual cases in September. For unsecured debts under €20,000, they will start to issue Debt Relief Notices (DRNs). For larger debts they will begin issuing Protective Certificates. These will give your Personal Insolvency practitioner 70 days to find a restructuring of the debt that is acceptable to you and your lender.

Critically, in the next few weeks eh new bankruptcy regime will kick in. The bankruptcy period will be reduced from 12 to three years, making it a credible option and threat for the first time. If banks continue to refuse to restructure debts in a meaningful way, borrowers can now declare bankruptcy. In many cases, this would cost the banks far more than a negotiated settlement. As such, it is hoped that people’s willingness to declare bankruptcy will force the banks to negotiate sensibly. 3. Sounds good ,how do I start the process? Debt Relief Notices will be administered by the Money Advice and Budgeting Service (Mabs). There are Mabs offices all over the country. They’ll take it from there.

Debt Settlement Arrangements (DSAs), unsecured debt over €20,000, and Personal Insolvency Arrangements, PIAs, (secured debts, mainly mortgages) will be administered by Personal Insolvency Practitioners (Pips). Some will be local accountants and lawyers, and others will be in large financial firms like Grant Thornton. The ISI will provide a directory on its website. Unlike Mabs, these are forprofit operations, so may charge different amounts, and offer different levels of service — so shop around.

You should contact a Pip for advice as to whether or not you qualify for a DSA or PIA. If you do qualify, they will run the process for you. There is also a good chance that a solution will be found. In the UK, Grant Thornton handles more of these arrangements than anyone else, and has a 97 per cent success rate. The feeling is that we should see high success rates in Ireland in the coming years, as lenders, borrowers and Pips get used to the process and the types of solutions that work in different situations. 4. So how do I know if qualify? The key question here is whether or not you’re insolvent. Technically, a person or business is insolvent if they cannot pay their debts as they fall due. The ISI’s position is as follows: you’ve got to be able to provide you and your family with a ‘reasonable standard of living’, as defined on their website. If after paying for this, you cannot meet your debt repayments sustainably (think capital plus interest), then you’re insolvent.

You’ve got to be in the Mortgage Arrears Resolution Process for at least six months to qualify for an insolvency arrangement. However, it might be worth contacting a Pip during the six months, or even before you go into arrears, to start getting organised. Pips can bypass the six months if they believe that MARP isn’t going to work for you.

I 5. Do I keep my home in a Personal Insolvency Arrangement? You should, yes. The legislation has been developed with the express intention of restructuring people’s debts so that they keep their home and get their debts down to a sustainable level. If the house is particularly big, it may be necessary to downgrade, particularly if debts are being written down. 6. Why don’t I just go to the UK and declare bankruptcy? Maybe you should. It depends on your circumstances. If you go to the UK you’ll be out of bankruptcy in one year or less, and can come back to the Republic debt free. If you stay here, you’ll be in bankruptcy for three years. There are some technical differences, but the main issue is the inconvenience of having to move abroad for a year.

Bankruptcy will be unpleasant, but is now a realistic option. It shouldn’t affect your job, and your standard of living for the three years may be the same as if you entered a DSA or PIA. At the end of the three years your debts will be written off (though you may end up paying some of your income to the bank for a few more years). Depending on the case, you may also get to keep your home. Even if the bank moves to repossess your house, it could take them up to two years to get you out.

So the bankruptcy option may be far more preferable to trying to service an unsustainable debt for the next thirty years, getting to retirement and realising you’re broke. 7. Any final advice? DON’T ignore the problem. Don’t ignore the letters. Don’t ignore the phone calls. Make sure all communications are in writing.

Get expert advice — there’s Mabs, financial advisers, solicitors, the ISI and groups like New Beginning. If possible, don’t negotiate yourself, get representation.

Study up — the ISI’s website provides pretty accessible materials.

If you’re paying more than one-third of your net income servicing your debts, and that doesn’t look likely to change any time soon, then your debts are unsustainable. Staying on interest-only is not a viable option. You have new options, so find out what they are, and use them. Stephen Donnelly is an independent TD for Wicklow and East Carlow

Vogue Williams- Model Fitness

From model to reality star to TV presenter to adventure racer, Tanya Sweeney asks is there anything Vogue Williams won’t take on?

As anyone who has seen her Instagram feed can attest, Vogue Williams has the kind of bikiniready body many fitness enthusiasts can only dream of. Still, that’s not to say that the prospect of a gruelling fitness challenge doesn’t faze her. Recently, the DJ/model/TV presenter has signed up to Gaelforce’s Women’s Adventure Race on July 27. Featuring a 7k run, a 15k cycle and a half-kilometre kayak, the event — which is run in association with Breast Cancer Ireland — is designed to appeal to women who’d like to give adventure racing a try but are intimidated by a bigger event.

“I was worried at first when I was asked because I’m terrible at running,” she laughs. “This event seems more like a big girls’ day out, and one of my friends will do it with me. The kayaking bit is probably going to be hilarious, and I don’t see anyone taking it too seriously, which is a good thing.

“I think I’ll be okay for the cycle, although I was destroyed by my spinning class earlier today. I let my fitness go there for a few weeks, but now that I’ve started running to prepare for this event, I feel motivated to do more.”

Given her heaving schedule, Vogue would be forgiven for letting her halo slip. Fresh from a tour of Australia with her husband Brian McFadden, Vogue has also been filming a new documentary for RTÉ. According to recent reports, Vogue is also involved in shooting the pilot for a new magazine-style show called Bounce that’s being pitched to the national broadcaster.

Between airport food and that niggling feeling that you’re constantly on holidays (and therefore off the hook, diet-wise), most people will admit that travel can wreak havoc on a gym routine. And, even in the midst of her hectic globetrotting, Vogue has found a canny way to stick to a regime.

“Travel can be a nightmare alright, but at least most hotels have gyms,” she says. “I take pictures of the gym circuit I use at home on my phone — I have six circuits I do with my trainer, so I do those in the hotels. But when I was on tour with Brian for ages . . . well, you don’t tend to work as hard.”

Australia, too, is one of the world’s fittest countries, which should grease the fitness wheels somewhat: “Yeah, I wouldn’t advise going to Bondi Beach if you’re having a fat day,” she laughs. “I was there 10 days ago, and I was waking up so jet-lagged and would go down to the beach in the morning thinking I was great. And the place would be already packed!”

As for juggling the unsociable hours of club DJing with her regime: “The thing is, I don’t usually drink when I’m DJing. I might have one or two when I’m almost finishing set. Drink is definitely something that makes me put on weight.”

That said, Vogue is “the thinnest I’ve ever been”, and credits The Fitness Agency in Howth for helping her reach her fitness goals. These days, she is more likely to attend their classes, and to mix things up, she will regularly run or walk her dogs along the pier in Howth, too.

“I work on an anti-gravity running machine, which burns 600 calories in half an hour,” she enthuses. “The thing with the gym is you have to go, don’t you? But once you’re in the gym you’re sort of into it.

“After I did my pre-wedding programme at The Fitness Agency, I lost a stone and lost so many inches (she wed Brian in Italy last summer). I think I got down to 11pc body fat. I also didn’t watch what I ate at all, which was really weird.”

Regular gym workouts are not just handy for honing those rock-hard abs, they’re good for the mind, too: “Brian always says to me, ‘whenever you don’t go to the gym you talk about how fat you feel, but when you go to the gym, you don’t say it as much’,” says Vogue.

“I don’t have the skinniest legs, but if you put a few pounds on, you just up the workout to keep at the same weight.”

While most models will claim incessantly that they can eat whatever they want and not gain weight, Vogue will at least admit that her sweet tooth often proves to be her downfall. There’s a sense that Vogue needs to strike a balance between eating what she likes and paying off those dividends with exercise.

“While she might feel a pang of guilt at missing out on a workout, Vogue will simply take her dogs for a walk . . . and carry on indulging her love of chocolate.

“I never cared about what I ate, but a year ago, I started to notice that it does make a difference,” she admits with refreshing candour. “I have to have chocolate every day, though. I just feel I need that treat. I love sweets — Stinger bars, sherbert Dip Dabs, all those kind of things.

“A friend recommended a tea that would combat sugar cravings, but life’s too short. I’ll just go to the gym instead. That said, I take lots of vitamin supplements and I drink this aloe vera liquid supplement that’s amazing. It’s so good for your stomach and your skin — Brian has dry skin and even he has found it really good for that.”

In recent weeks, there has been much tabloid chatter about Vogue planning to start a family with her new husband. It turns out that the media has jumped the gun somewhat.

“A friend asked me last week, ‘should you not be taking folic acid right now?’” she laughs. “I guess it wouldn’t do any harm, but I’m not in any rush. Maybe a year before we decide to go for it, I’ll think about the supplements then!”

For more information on the Gaelforce Women’s Adventure Race in July, which starts in Leenane village and ends at the Killary Adventure Centre, log on to www.womensadventurerace.com. (Above) Vogue Williams takes a walk with her husband Brian and their dog along Bronte Beach in Sydney, Australia; (top left) DJ Vogue on the decks; and (right) Vogue in training for the Gaelforce Women’s Adventure Race at The Fitness Agency in Howth.

 FOOD LIST FOR THE CYCLICAL KETOGENIC DIET

By DavidC

Photo Credit Meat image by Svetlana Kashkina from Fotolia.com

The original ketogenic diet was developed in the 1920's to help children with epilepsy before modern day medication became available. Recently, various spin offs have emerged like the Cyclical Ketogenic Diet, or CKD, primarily used by fitness enthusiasts and body builders. The basis of the diet includes a high fat intake, moderate protein and low carb consumption from Monday to Friday, then reversing the process to a high carbohydrate, low protein and low fat diet over the weekend. This is purported to reset the body clock into using fat as its primary energy source, protein to maintain lean muscle mass and very limited carbohydrates for fiber.
The CKD is not without its opponents. Speak with your doctor before embarking on any weight loss regimen..

FATS

High fat foods are the order of the day from Monday to Friday, with approximately 60% of calories consumed coming from fat. On the weekend, this ratio drops to 10%. Although all fats are allowed, foods with healthy fat are preferred, and will ultimately keep you feeling good as well. Foods like tuna, salmon, shellfish, bacon and other fatty meats are appropriate choices, but watch for hidden carbohydrates that might be present in sausages and hot dogs. According to Epilepsy.com, foods such as butter, heavy whipping cream and mayonnaise, and oils like canola and olive oil are also good sources of fats appropriate to the cyclical ketogenic diet.

Read more: http://www.livestrong.com/article/227032-food-list-cyclical-ketogenic-diet/#ixzz2Zaow2Av2