Wednesday 22 November 2017

NAMA prepares to welcome 10,000 low-value loans

Laura Noonan

Laura Noonan

AN extra 10,000 borrowers will have their loans transferred to NAMA early next year after the toxic loans agency agreed to take over lower-value debts from Ireland's biggest banks.

The move was revealed last night as the Government published the terms of Ireland's €85bn bailout.

On Sunday night, the Government announced that NAMA would take on an extra €16.6bn of loans from AIB and Bank of Ireland, covering land and development loans of less than €20m.

The banks will continue to deal with the 10,000 borrowers on a day-to-day basis, but NAMA is likely to need more staff to oversee the loans as its portfolio swells to almost €90bn.

A spokesman for the toxic loans agency said additional recruiting would be done "as required".

The spokesman added that there would be "little or no reliance" on short-term contract staff to handle the extra work. NAMA has been sharply criticised for its usage of expensive contract staff.

The development is likely to herald a surge in fees for private firm Capita, which is charged with monitoring how banks' deal with customers whose loans transfer to NAMA.

Irish Independent

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