Dáil debates
Thursday, 24 June 2010
European Financial Stability Facility Bill: Second Stage
Article 6 covers claims under a guarantee. If the company does not receive a scheduled payment under a loan it will call in the guarantees from the relevant guarantors. It will also, if necessary, draw on the cash reserve. Once a guarantee has been paid, the company is liable to reimburse each guarantor subject to the extent of the funds actually received from the underlying borrowers in respect of the relevant loans.
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