Lifeline vow for families in mortgage distress
FINE Gael has pledged to give the country's struggling mortgage holders a break if elected.
It proposes to force lenders getting state support to cut wages and costs by €100m and make them renegotiate mortgage terms with householders to avoid repossessions.
The party also promised to stop lenders imposing penalty rates where rates have been rescheduled. And it vowed to help families in arrears by capping mortgage interest supplement payments to banks.
As previously revealed, it will put aside €120m in additional mortgage interest reliefs for the negative equity generation -- first-time buyers who bought homes between 2004 and 2008 -- financed in part with the abolition of relief for new buyers from June 2011.
"As a country and as a people we have all taken on a monstrous burden of debt from our banks that we will end up repaying for generations to come," Fine Gael finance spokesman Michael Noonan said.
"It is time for ordinary families who are in mortgage distress to get a break now."