Fianna FÁil Cautions Over Selling Mortgage Loans Abroad

FIANNA FÁIL CAUTIONS OVER SELLING MORTGAGE LOANS ABROAD

Fianna Fáil is warning that 18,000 mortgage holders could be left without any protection if the government allows their loans to be sold abroad.

Customers with loans from Irish Nationwide are now facing the prospect of IBRC selling their mortgages to a foreign lender.

Fianna Fáil says if they are sold overseas they won’t covered by the code of conduct on mortgage arrears and could possibly face immediate moves to repossess their homes.

Finance spokesman Michael McGrath says the government needs to accept the party’s bill on the matter to ensure customers are still protected.

“They would be extremely vulnerable to an unscrupulous venture capital fund, private equity fund holding their mortgage” he said.

“If they get into any level of difficulty whatsoever, the code would no longer apply – and the holder of that mortgage, the new entity, would in a sense be able to move immediately on them and foreclose on that mortgage” he added.

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