Dessie Ellis (Dublin North West, Sinn Fein) | Oireachtas source

It is clear that vulture funds have no interest in reaching solutions with homeowners. They have no interest in restructuring loans or providing for interest only payments.

The sale of distressed mortgages by banks such as Permanent TSB to vulture funds puts homeowners and renters in a very dangerous position that could result in large-scale repossessions. The Government has shown itself complicit in such sales. The State is a major shareholder in Permanent TSB, owning 75% of the company. This is a company that was bailed out by taxpayers' money to the tune of €4 billion.

Last year Permanent TSB sold its Project Glas loan portfolio to Start mortgages, an affiliate of the vulture fund, Lone Star Funds. The portfolio contains loans which Permanent TSB considered as non-performing loans. It later emerged that the sale also included performing loans. Many of the people whose loans were being sold to the vulture fund were people who were genuinely paying their mortgages, after making prior arrangements and agreements with Permanent TSB. The State has a responsibility to these people, particularly as it is the primary shareholder.

In a real case, a constituent of mine in secure employment and with a disabled adult in the family has a mortgage of just over €100,000. He is up-to-date with repayments on this mortgage, agreed with Permanent TSB. This mortgage has nonetheless been sold to that vulture fund causing himself and his family great distress and uncertainty. Should their house be repossessed another family with a disabled adult will be made homeless. This Bill will empower borrowers like this and prevent banks causing such uncertainty and distress to families by selling loans to unregulated and unaccountable vulture funds. I urge TDs to support this Bill and end the distress of families and the threat of homelessness that hangs over many of their heads.

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