Patrick Honohan: Too many mortgage arrears cases not being treated
FAR too many cases of mortgage arrears remain untreated, Central Bank governor Patrick Honohan has said.
Mr Honohan told the Oireachtas Finance Committee that of the 98,000 mortgage accounts in arrears of 90 days or more at the end of June, three out of every four were not yet in an arrangement.
“Despite all of our efforts, and despite real progress in policies, processes and staffing, far too many arrears cases have still remained untreated,” Mr Honohan said.
However, Mr Honohan said that the process was working.
He said the Central Bank had no mandate to prevent banks repossessing homes if borrowers refuse to engage.
But he added: “Any bank which is proceeding lightly to legal recourse with cooperating borrowers without satisfying the procedures of the Code of Conduct on Mortgage Arrears, or where alternative sustainable arrangements are available, is evidently not acting in a manner consistent with the targets regime.”