Olivia Mitchell (Dublin South, Fine Gael)
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162. To ask the Minister for Finance the measures that exist for those persons who were sold endowment mortgages in the 1990s and who now, on coming near the end of the mortgage term, have been advised that there will be a major shortfall in the policy; and if he will make a statement on the matter. [23235/14]

Olivia Mitchell (Dublin South, Fine Gael)
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163. To ask the Minister for Finance if there are regulations governing endowment mortgage policies; if there is recourse for those who believe they were mis-sold such a policy; and if he will make a statement on the matter. [23236/14]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 162 and 163 together.

Firstly, I must confirm to the Deputy that it is not appropriate for me, as Minister for Finance to comment on or become involved in the detailed mortgage position of mortgage holders. The Central Bank has responsibility for the regulation and supervision of financial institutions in terms of consumer protection and prudential requirements and for ensuring ongoing compliance with applicable statutory obligations. I understand from the Central Bank, that where the proceeds of an endowment policy are insufficient to repay the capital element of an endowment mortgage, borrowers should be given ample time to make alternative repayment arrangements. Borrowers are afforded the protections of the Code of Conduct on Mortgage Arrears in cases where the mortgage is in arrears or in pre-arrears and is secured by the borrower's primary residence.

The Central Bank's Code of Conduct on Mortgage Arrears applies to mortgage lending activities with borrowers in respect of their principal private residence in the State. Compliance with the Code is mandatory on all mortgage lenders registered with the Central Bank. The Code provides a number of protections to borrowers. These include the establishment of a formal Mortgage Arrears Resolution Process (MARP) to deal with mortgage customers who are in arrears or in pre-arrears, the establishment of a dedicated Appeals Support Unit and a separate internal appeals process by lenders to deal with individuals on a case by case basis. A copy of the Code is available on the Central Bank s website www.centralbank.ie. People in debt or in danger of getting into debt can avail of the services of the Money Advice and Budgeting Service. This is a national, free, confidential, and independent service.