Wednesday 26 July 2017

Bank still has homes it stole in mortgage rip-off

Permanent TSB has admitted it still has some of the houses stolen from customers as a result of the mortgage overcharging scandal
Permanent TSB has admitted it still has some of the houses stolen from customers as a result of the mortgage overcharging scandal

Paul O'Donoghue

Permanent TSB has admitted it still has some of the houses stolen from customers as a result of the mortgage overcharging scandal.

The embattled bank acknowledged for the first time that it may have to return some of these properties to families who have been offered just €50,000 in compensation for being evicted.

The State-owned bank must set aside as much as €119m to cover the cost of "legacy legal and compliance issues".

PTSB has announced a redress programme for 1,372 borrowers after a Central Bank probe revealed a series of failures. It found customers were wrongly blocked from availing of low-cost tracker mortgages, which could have saved them up to €7,000 a year.

It has now emerged that some of those people who lost properties due to the scandal may be able to get them back. A spokesman for PTSB said that the bank is currently in possession of a "small number" of properties.

He said: "Some are still in the possession of the bank. The bank would be willing to consider returning properties [but] it will fall on the basis of discussions with customers."

Irish Independent

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