Concerns over potential sale of Irish mortgages to foreign banks

McGrath: unscrupulous finds could immediately foreclose mortagages

Fianna Fáíl is warning that 18.000 mortgage holders could be left without any protection if the Government allows their loans to be sold abroad.

Customers with loans from Irish Nationwide are now facing the prospect of IBRC selling their mortgages to a foreign lender.

Fianna Fáil said if they are sold overseas they won't covered by the code of conduct on mortgage arrears, and could possibly face immediate moves to repossess their homes.

Finance spokesman Michael McGrath said the government needs to accept the party's bill on the matter to ensure customers are still protected.

"They would be extremely vulnerable to an unscrupulous venture capital fund [or] private equity fund," he said.

"If they get into any level of difficulty whatsoever, the code would no longer apply, and the holder of that mortgage, the new entity ... would be able to move immediately on them, and foreclose that mortgage."

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