Action required on mortgage moratoriums now says Tipperary TD, Jackie Cahill

Noel Dundon

Reporter:

Noel Dundon

Email:

nd@tipperarystar.ie

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Cahill is looking for a mortgage moritorium

At the moment, banks are only offering mortgage moratoriums if the individual in question is willing to accept a negative impact on their credit ratings.

Deputy Jackie Cahill has called on the Minister for Finance and the Minister for Public Expenditure and Reform to act as a matter of priority to ensure that those who are financially struggling as a result of the current Covid-19 related economic lockdown are not prevented from availing of a mortgage moratorium.

Cahill was commenting on this publicly after writing to both ministers in relation to the issue and expressing major concern that individuals who currently avail of mortgage moratoriums face having their credit ratings negatively impacted as a result.

 Tipperary TD Jackie Cahill

“I have written to the Minister for Finance Paschal Donohoe and the Minister for Public Expenditure and Reform Michael McGrath asking them to ask as a matter of priority to ensure that those who need mortgage moratoriums at the moment can access them without negative future impacts. At the moment, banks are only offering mortgage moratoriums if the individual in question is willing to accept a negative impact on their credit ratings.”

“This is extremely unfair. We are in the middle of a pandemic that has brought many parts of our economy to a halt. Individuals and businesses who need payment breaks should be entitled to them as they try to keep their heads above water and survive until we can get back to normal business operations. Irish taxpayers were there to support the banks during the last recession; it is only right and just that the banks support individuals, families and businesses now. I am calling on the ministers to act to ensure this happens.”

The Tipperary Fianna Fáil T.D. continued to discuss personal insolvency laws and said: “It has also become apparent that amendments are required to the Personal Insolvency Act 2012 to ensure that small business owners and farmers enjoy the full protections of this legislation. As it stands, an individual may only avail of the beneficial protections of the 2012 Act when their principal primary residence (family home) is included in the debts owed.”

“However, many small business owners and farming families have put up their business premises or land as security for loans, rather than the family home. This should not be a bar to an individual availing of the benefits of personal insolvency laws. Family businesses and farms should be protected under the 2012 Act the same as the family home is. This legislative amendment is something that I plan to push for during the term of this Dáil”, he concluded.