Results 3,421-3,440 of 16,492 for speaker:Ciarán Lynch

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: I have been here since 10 a.m. and will be back here at 10.30 tomorrow morning.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: On Mr. Murphy's response to Deputy Dara Murphy's question in respect of mortgages with 40-year schedules, are we talking about new or existing mortgages that have been rescheduled?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: I am surprised to hear that, particularly in the context of new mortgages. In 2009 the Central Bank gave a very clear opinion that it was very much opposed to mortgages with terms of more than 25 years. In the long term advancing such mortgages would give rise to another property bubble because by scheduling over a 35-year period, all one would be doing was facilitating an additional value...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: New property is not at Celtic tiger bubble prices. It is now affordable and should be repayable over 25 or 30 years.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: It is not me who is saying this; the Central Bank is saying it. Why is AIB doing it?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: The Central Bank is not talking about retirement dates. It is talking about schedules of 25 years to 30 years. If people take out mortgages in their early 20s, they should have them repaid by the time they are in their 50s, at which time they have another big bill coming down the road, namely, the cost of third level education for their children. If one is in a 35-year mortgage, one is not...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: The reason I have picked up on the point is that new mortgages seem to be still in that bracket. I wished to clarify those two points. I am concerned that people seeking new mortgages in AIB are being offered 35-year mortgages.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: The Central Bank would not be impressed. It was most emphatic about the matter in 2009.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: A final point relates to mortgage protection and mortgage insurance. What monitoring is available to ensure people are maintaining such insurance for new mortgages?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: Yes, life assurance.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: How many of the bank’s customers with non-distressed mortgages have income protection?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: Okay. It is mandatory to protect mortgage repayments in the Canadian and Dutch models of mortgage lending practice. As a result, neither Canada nor the Netherlands suffered a property bubble. Products were designed by companies such as Genworth to protect 30% of the equity. Because the governments of those countries introduced such a mandatory ruling, they had positive outcomes. From our...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: If PPI were mandatory, as is the case in Canada and the Netherlands - albeit under two different models - would it bring down the cost of the mortgage because of the reduction in the risk factor due to the insurance loading that is placed on top of the mortgage?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: The insurance companies ensured there would be a limit on loan-to-value ratios because they insure the amount of borrowing provided by the bank, which results in a triangulation in terms of monitoring.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Operations and Functioning of AIB: Discussion (31 Oct 2012)

Ciarán Lynch: It is coming up to 5.25 p.m., and we are due to finish at 5.30 p.m. I would be grateful if we could finish five minutes early. I have been sitting here since 10 o'clock this morning and my legs are getting a little stiff. I thank Mr. Duffy and his team for attending this afternoon. I believe it is his first time before the Joint Committee on Finance, Public Expenditure and Reform. I am...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Business of Joint Committee (1 Nov 2012)

Ciarán Lynch: The minutes of the meeting of the joint committee on 31 October have been circulated. Are they agreed? Agreed. There are no matters arising. As this committee meeting is being broadcast by UPC on channel 207, is it agreed that we defer the consideration of correspondence until the next meeting of the joint committee? Agreed.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Discussion with Bank of Ireland (1 Nov 2012)

Ciarán Lynch: I welcome Mr. Richard Boucher, chief executive officer of Bank of Ireland, Mr. Liam McLoughlin, chief executive of the retail Ireland division, and Ms Lynda Carragher, head of credit. I remind members, witnesses and those in the Visitors' Gallery that all mobile telephones must be switched off. This meeting is being broadcast by UPC on channel 207. If a mobile telephone is switched on, it...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Discussion with Bank of Ireland (1 Nov 2012)

Ciarán Lynch: As this meeting has to come to an end at 1 p.m., the first round of questions will be for 15 minutes, the second round for ten minutes and remaining questions for six minutes. Supplementary questions of one minute will be allowed if members indicate. Does Bank of Ireland have 40% of the mortgage market?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Discussion with Bank of Ireland (1 Nov 2012)

Ciarán Lynch: According to AIB yesterday, it has 44% of the market. What other institutions have a share of the market considering EBS and Irish Life & Permanent have been subsumed into the two main banks?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Discussion with Bank of Ireland (1 Nov 2012)

Ciarán Lynch: I will push Mr. Boucher a little further on the mortgage-to-rent programme. A reply to a recent parliamentary question I tabled shows that only one mortgage-to-rent application has made it completely over the line and the indication is that it was done by a sub-prime lender, neither by AIB nor Bank of Ireland. It would be an observation that maybe the sub-prime lenders are more realistic...