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Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: In terms of the period we are talking about, there could be some that will be reviewed in three or five years but there are no short-term, six or 12-month-----

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: Yes.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: So there is nobody whose loan is being transferred who, in a few months or a year, will find themselves being contacted by Pepper to say their time is up and that it wants to talk to them about the arrangement they have.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: No, it is a question for PTSB. How many of these loans has the bank negotiated whereby when they are transferred to Pepper, it can review these loans negatively? I doubt it would review anything positively.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: As Mr. Crowley checks that, I suggest we take a comfort break for five or ten minutes.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: We will resume our meeting in public session. I call Senator Horkan.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: We are coming to the end now. We will be out of here by 6 p.m. Did PTSB make every effort to adopt the mortgage to rent model or solution before any of these cases went over, or as they were going over?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: I would like to ask Mr. Masding or Mr. Crowley a question that I think I have put to them previously. Do they use the iCare model or a similar-----

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: PTSB has a couple of clients.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: They use this model. They work on it continuously.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: When Pepper gets a standard financial statement from an individual, does that work in exactly the same way as it would have worked with PTSB?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: In Mr. Ryan's opinion-----

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: In terms of the insolvency rule, the average split is 50% across the loan sale. Was that a very big number from the beginning or did it just emerge because of renegotiation through the years?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: What do the witnesses think about the restructuring where parts of the loan were warehoused? Did that give a false sense of hope to the customers who believed they were now in this new arrangement and would be staying with the bank?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: In terms of the loans taken out with Permanent TSB which are now going to Pepper, has an analysis of the age profile of the individuals concerned been undertaken?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: Do the witnesses have any figures from that analysis?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: I wish to clarify a few points made earlier. It was said earlier that the bank provides a full suite of solutions.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: Is it the case that there is no difference between Pepper and Permanent TSB in that regard?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: Mr. Crowley said earlier that Permanent TSB originated the structure. I believe he was answering a question about Glenbeigh. What did he mean by that?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Sale of Permanent TSB Mortgage Loans: Discussion (6 Dec 2018)

John McGuinness: Does that mean the bank registered or created Glenbeigh and offered it to someone else?

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