There are 3 types of diligence that can be taken by a creditor to secure the repayment of a debt through deductions from a debtors earnings, these are:
- Earnings arrestment – for general debts and court fines
- Maintenance arrestment – for child maintenance debts
- Conjoined arrestment – these are issued by and administered by the court where two or more debts owed to different creditors are deducted from the debtors earnings
Where a creditor has issued a charge for payment and the debtor has not paid the money owed within the specified period, the creditor can arrange to have a schedule of arrestment served on the debtor and the debtors employer. Once the employer has received a schedule of arrestment they must make deductions directly from the debtors earnings and pay this to the creditor, or in the case of a conjoined arrestment, to the clerk of court.
Creditors have an obligation to provide the debtor with a Debt Advice and Information Package no earlier than 12 weeks before executing an arrestment of earnings.
An arrestment lasts until the debt is paid, the debtors employment ends with that employer, the arrestment is recalled, the debtor enters a debt payment plan under the Debt Arrangement Scheme or the debtor is made bankrupt.
Details of the current amounts that can be deducted from a debtors earnings can be found on legilsation.gov website.