Eric Byrne (Dublin South Central, Labour)
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52. To ask the Minister for Finance if he will clarify a situation regarding Bank of Scotland (Ireland) and its loan book, customers of this bank have been informed that the Bank of Scotland (Ireland) have sold off a portion of its loan book to an American Company, Apollo, in view of this fact the protection that will be afforded to Bank of Scotland (Ireland) mortgage holders here from the Central Bank of Ireland; and if he will make a statement on the matter. [9820/14]

Michael Noonan (Limerick City, Fine Gael)
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In December 2013, Lloyds Banking Group sold its Irish residential portfolio of 2,000 mortgages to Apollo Global Management. Apollo Global Management met the Central Bank and the Department and indicated clearly that it intended to voluntarily adopt the Code of Conduct on Mortgage Arrears (CCMA) to manage the acquired loans. Apollo Global Management believes following CCMA is in the best interests of both and forms part of its core strategy.

A number of the purchasers of mortgage loan books are abiding by the Central Bank Code of Conduct on Mortgage Arrears on a voluntary basis. I accept that this is not the same as the consumer having the right to the free service provided by the Financial Services Ombudsman; such a consumer would have recourse to the Courts in the usual manner. However, voluntary adherence to the Code seems to be in the interests of both the consumer and the purchasing entity.