Oireachtas Joint and Select Committees
Wednesday, 12 November 2014
Joint Oireachtas Committee on Finance, Public Expenditure and Reform
Overview of Banking Sector: Permanent TSB
3:55 pm
Mr. Ger Mitchell:
With regard to risk models, our actuary team prepares a model which forecasts the probability of default and the loss on default, which varies depending on the loan to value of each product. This is why we are able to optimise the price for those with 50% or 60% loan to value compared to those with 90%. The costs change depending on the loan to value.