Sunday 25 September 2016

Bank still has homes it stole in mortgage rip-off

Paul O'Donoghue

Published 30/07/2015 | 02:30

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

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

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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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