Terence Flanagan (Dublin North East, Independent)
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91. To ask the Minister for Finance the position regarding negative equity (details supplied); and if he will make a statement on the matter. [16108/14]

Michael Noonan (Limerick City, Fine Gael)
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As the Deputy may be aware, it is not appropriate for me to comment on or become involved in an individual borrower's dealings with a financial services provider.

Mortgage lending decisions must be undertaken on a sustainable and prudential basis by financial institutions and must conform fully with the regulatory requirements, both in relation to the financial institution itself, and also with regard to safeguarding the borrower's interests.

While the financial downturn has unfortunately resulted in increased numbers of borrowers in negative equity as property prices decreased, we are now seeing early signs of recovery in that sector, which will have a positive impact on the situation for borrowers in negative equity. 

The Deputy will appreciate that it is a matter for financial institutions to consider what products they wish to make available to their customers. However, I am advised by the Irish Banking Federation that the following banks have introduced products developed for people who are in negative equity and who wish to move: Permanent TSB, Ulsterbank, AIB, Bank of Ireland, EBS, KBC & Bank of Ireland.

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