Tuesday, September 17 12:25:32
The Central Bank today set targets by which banks must conclude arrangements with customers in arrears of 90 days or more.
The regulator now requires banks to have concluded arrangements with 15 per cent of their over 90-day mortgage arrears customers by end of December 2013.
Furthermore, the Central Bank is now setting expectations for end March 2014 for sustainable solutions offered to customers to reach 70 per cent of over 90-day arrears and for concluded solutions to reach 25 per cent.
The 25 per cent target means that more than 24,000 home owners who are in arrears would have to have a concluded deal with their bank by the end of next March next.
In March of this year, the Central Bank announced targets (end June, end September and end December) for banks offering sustainable long term solutions for mortgage arrears customers. The Central Bank also intimated that targets for 'concluded' arrangements with mortgage arrears customers would follow. The Central Bank, in agreement with the Troika, has now set its expectations of the banks in this regard, it said in a statement today.
The targets apply to Allied Irish Banks and its subsidiary EBS; Bank of Ireland and its subsidiary ICS; Ulster Bank; KBC; and Permanent TSB.