Oireachtas Joint and Select Committees

Wednesday, 9 April 2014

Joint Oireachtas Committee on Finance, Public Expenditure and Reform

Mortgage Arrears Resolution Process: (Resumed) Permanent TSB and AIB

1:35 pm

Photo of Aideen HaydenAideen Hayden (Labour) | Oireachtas source

For the record, it is important to state that when the Money Advice & Budgeting Service, MABS, appeared before the joint committee last week, its representatives made it clear that they found the current situation to be entirely unacceptable. They mentioned how every time borrowers who were engaging rang, they were obliged to deal with a completely different person. Under the current system, borrowers definitely are not operating on a level playing field and from their perspective, that places them at severe risk of making arrangements with banks that are not sustainable. On that point, I was pleased to see that AIB is abiding by the living rates recommended by the Insolvency Service of Ireland and indeed is going above them and for the record, I consider that to be positive.

However, I wish to make two points. The first pertains to mortgages that are in positive equity. As the witnesses are aware, considerable concern has been expressed in this regard. I certainly have been dealing with people who are in mortgage arrears but are in positive equity. In the engagements I personally have had with some lending institutions, I have become deeply suspicious about the manner in which such mortgages are being approached. I am uncertain whether the witnesses have provided members with information - I do not appear to have it - but under each of the categories that are set out-----

Comments

No comments

Log in or join to post a public comment.