Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

The Minister often refers to the independence of the Central Bank and states that an independent body oversees mortgages. This is true in that it provides the overall framework, but it does not get down to the level of individual mortgages and arbitration between mortgage holders and banks to achieve fair solutions, and ultimately this is the weakness in the strategy.

I wish to ask about the minimum income guidelines. They are designed to be used by the insolvency service, but will they also be used by the banks in dealing with people in mortgage arrears who have not yet ended up or will not end up in the insolvency service? What will be the standing of these guidelines? Today we have read reports about second cars, Sky Sports, holidays and health insurance being under threat. I acknowledge there must be consistency and fairness in how borrowers are treated, but people deserve to know exactly where they stand. Will these guidelines be used by banks outside the insolvency service? If so, what will be their status? Will they be binding or will they merely be guidelines, which is what was announced today?

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