Wednesday, January 30 15:10:51
The Irish Banking Federation (IBF) today said it has designed a new scheme to help householders in arrears keep their homes by restructuring their non-mortgage debts.
It said that the new initiative will involve lenders and customers working together both to prioritise the home loan payment and to restructure the customers' remaining debts on an appropriate basis.
"It is apparent that the level of personal short-term unsecured debt than many home loan customers have accumulated is significant and in many cases unmanageable, when the customers' total income and total indebtedness is considered," the IBF said.
This new initiative is designed to encourage customers to work with both their secured and unsecured lenders with the overall objective of keeping families in their homes. In order to optimise the new approach being taken, IBF will be seeking the support of all lenders.
The IBF advice remains that all customers facing financial difficulty should engage proactively with their mortgage lenders and provide the necessary information to enable their position to be assessed.