This "debate" is all very interesting - but does anyone know WHY BOI wrote off this debt??? What makes this case so different to the loads of others who can't get permission to sell their house for less than the mortgage owed?
The banks have always said that each case will be dealt with individually - that there will be no blanket formula for 'the ABC guide to getting debt forgiveness'. It's good to see the bank being pragmatic and recognising an unsustainable debt when they saw it. The woman involved was interviewed on RTE1 this morning but it was a very poor interview - no probing of the details which might have helped listeners understand why the bank did what they did. When asked what advice she would give others in similar circumstances/what she had done, she said first and foremost, she prayed and had god to thank for this happening; second she was grateful that the bank were merciful. And that was pretty much it for the advice!This "debate" is all very interesting - but does anyone know WHY BOI wrote off this debt??? What makes this case so different to the loads of others who can't get permission to sell their house for less than the mortgage owed?
Having listened to her interviewed, there are undoubtedly private details and considerations.There could be private details that were considered.
I'm pretty sure whatever the opposite to the 'let them drown brigade' is want people to get debt write-offs AND keep their homes - that didn't happen here. Also, Bank of Ireland is only 15% owned by the state so it's less of an issue what an almost private bank does at a cost to itself - would be more of an issue if AIB/Anglo used taxpayer money to write off debts.Let them drown brigade 0 so its a good day for our society
They then got a judgement for the balance - or a bit less than the balance as New Beginnings were claiming the short fall would have been less if they had allowed her to sell at an earlier date.
Is this the difference? I know loads of people who have gone to their banks & asked to sell their houses (not all in arrears though) & convert the short-fall to a loan & have been given a flat no.
I would hope not, but i wouldnt be so sure. My real worry is that with all of the talk of "getting the banks lending again" that the state owned banks will be pressurised into lending to people who shouldn't get loans, i.e. as a country we'll be repeating the whole banking mistake again.she has done very well for herself. Surely she will never get a bank loan let alone another mortgage as a result of this massive write-off?
It isn't different at all, except they agreed in this case, either because she was particularly persuasive, tenacious or it just made sense to them for whatever reason.
It is hard to make any sense of the figures in this case. Nothing about it screams "unsustainable" to me on the available facts.
Agree.
I am far from the let them drown brigade, but this case just doesn't make sense to me.
Did the borrower just hand back the keys or did she stay in the property until she was evicted?