Lorraine Higgins (Labour) | Oireachtas source

I call on the Minister for Finance to come to the House to discuss the most recent problem afflicting bank customers. Only yesterday a new story broke about data audits having revealed that the credit histories of thousands of customers had been misreported to the Irish Credit Bureau. This is a scandal and an unmitigated mess inflicted on unsuspecting bank customers.

It is clear from the banks' actions that they are not listening. What worries me is that I am not sure anybody is capable of making them listen. So far, the response of Permanent TSB and AIB to this debacle has been lamentably poor. We need the Minister's intervention in the matter. Neither bank has confirmed the number of the customers affected and they have made no suggestion to the effect that they will remedy the problems associated with their own negligence. We must also remember the significance of this error. To input an adverse credit finding against a customer in Irish Credit Bureau records is to suggest he or she is insolvent, which gives the message that he or she cannot pay his or her debts as they fall due. This is potentially defamatory and has ramifications for people's good name but not only that, it may prevent them from obtaining finance down the road. I remember in my capacity as a barrister how a client of mine had had an adverse credit rating against them which was highly erroneous. Despite having valuable property, that person could not raise 1 cent in the banks during the boom years as a consequence of this error which was ultimately rectified through legal proceedings against the bank in question.

This morning I have written to all of the banks involved to ask them how they propose to deal with this issue. I hope they will deal with my correspondence with urgency in order that when I return to the House on Tuesday, I can read their responses. I have requested that they provide free credit reports for their customers, with a goodwill gesture for those individuals who have had erroneous and adverse entries entered against their good name. I have also asked them to set up a helpline to deal with the issue and ensure anyone who uses it will be reimbursed.

Short of running out of money, it is very hard to think of a more serious problem affecting the banks' customers. It is clear from their sloppy customer services that the customer still ranks at the bottom in term of priorities, despite all guarantees to the contrary. For me, it remains a major source of disappointment, after the banks have been bailed out by the taxpayer, the ordinary customer cannot have peace of mind. It is the most serious customer service failure in my memory and the reactions of both banks so far have been a disgrace.