Jim O'Callaghan (Dublin Bay South, Fianna Fail)
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111. To ask the Minister for Justice and Equality if she is satisfied as to the effectiveness of the European Communities (Unfair Terms in Consumer Contracts) Regulations 1995 as it applies in respect of mortgages between customers and financial institutions; her plans to strengthen these regulations; and if she will make a statement on the matter. [16975/17]

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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I wish to advise the Deputy that this matter is still being examined by my Department in consultation with the Office of the Attorney General and the matter will be kept under review in terms of any definitive additional obligations arising.

The EU Directive on Unfair Terms in Consumer Contracts was given effect in this jurisdiction by Regulations in 1995 and by amending Regulations in 2000, 2013 and 2014. The Directive and Regulations are primarily a matter for the Minister for Jobs, Enterprise and Innovation. These Regulations are enforced by the Competition and Consumer Protection Commission, ComReg and the Central Bank, the latter having specific responsibility in relation to financial service matters. While these Regulations are enforced by the three aforementioned bodies, it is ultimately a matter for the Courts to determine whether a specific term of a contract is unfair having regard to the features of the contract.

The raising of this issue once again underlines the critical importance of those who are in mortgage arrears and who have been issued with legal proceedings, engaging with their lender and with the court processes. Relevant court processes provide various forms of protection under the Insolvency Acts and the Land and Conveyancing Law Reform Act 2013. In addition, they will also have the possibility of availing of the free legal and financial advice services provided for under the Government’s Abhaile service launched in October 2016.　

The latter initiative allows those who are in danger of losing their home to avail of free professional advice, including advice from a Personal Insolvency Practitioner. Under this Scheme, home owners who are in arrears on their home mortgage and at risk of losing their homes are provided with access to free independent expert financial and legal advice and assistance, so that a solution can be put in place that will deal with their debt and keep them in their home, where that is a sustainable option.

The Abhaile service is in addition to the help already available from Money Advice and Budgeting Service (MABS) to homeowners in mortgage arrears. This includes the presence of MABS court mentors at all Circuit Court repossession hearings across the country to provide information and assistance to unrepresented borrowers; and providing in-house dedicated Mortgage Arrears advisers in MABS offices across the country, specifically to assist and negotiate on behalf of borrowers in mortgage arrears.