Govt to close loophole which stopped banks from repossessing homes

The Government is moving to close a loophole which stopped banks from repossessing homes.

It has agreed to make the change as part of the latest review of the Troika bailout.

The decision has raised the prospect of a wave of house repossessions in the New Year.

Karl Deeter from Irish Mortgage Brokers explained how the loophole came about: "There was a change in the way that property is bought and sold, called conveyancing and that happened in 2009.

"When they changed the law, there was an aspect that meant banks could no longer repossess houses. The Troika want it reversed and the truth is the government want it reversed as well."

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