Kingoftench
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Louth man fears eviction after mortgage transfers to new bank
Jimmy Crosby's mortgage repayments have almost doubled in recent months.

As you may be aware, Deputy Doherty has raised this issue in the Dáil, with borrowers such as yourself seeing more sudden and higher interest rate hikes than those borrowers who are with the pillar retail banks.
RTÉ Prime Time are exploring the possibility of covering the issue of mortgage interest rates charged by vulture funds, and have approached Deputy Doherty and asked if there was anyone who would be open to having a conversation about potentially contributing to their coverage.
Let me know if you would be interested or open to speaking to RTÉ Prime Time about your own experience.
Harcus Parker has argued that these firms did not reduce the standard variable rate on these loans from 5 per cent, even though the Bank of England cut the base rate to as low as 0.1 per cent in 2020.
Start did not reply when asked to explain why customer rates were rising when the vulture funds that bought the mortgages, which Start services, funded them with finance as low as 1pc fixed for up to 35 years, according to the publicly available prospectuses for these transactions.
Meanwhile, Mr McGrath said he will use his first meeting as Minister for Finance with the Central Bank governor, Gabriel Makhlouf, to engage on the “concerning” issue of how holders of 100,000 mortgages sold by banks to overseas investment funds are facing above-the-odds rates of as much as 7 per cent on their loans.
A Bill published by Mr McGrath in 2016, when in opposition, aimed at giving the Central Bank the ability to cap variable rates did not progress through the Oireachtas. Mr McGrath, who took over as Minister for Finance last month, signalled, however, that he is not supportive of a Labour Party Bill introduced last summer that is similar to the one he previously championed.
Frankly, the available rates on offer from the investment funds should have mirrored the rates offered by the original lender. That would have been fair.
I agree Brendan, but also read the exert from Chitty on Contracts. (Legal Bible on contract law) below.The Code of Conduct on Mortgage Arrears prohibits a lender from charging a higher rate to a customer whose mortgage is in arrears or whose mortgage has been restructured.
So ptsb could not charge 3.5% on a performing loan and 6.5% on a loan which has been restructured.
So by selling the loan to a vulture fund, this section of the CCMA becomes unenforceable.
So I would argue that Pepper is in breach of the CCMA by not offering the rates being offered by the lender who sold the loan.
Brendan
Hi Brendan. Can you point me to where in the Code it says that please? Start Mortgages are disputing this and I want to quote tthe sections back to them. Also why has regulator not come out and said this? ThanksThe Code of Conduct on Mortgage Arrears prohibits a lender from charging a higher rate to a customer whose mortgage is in arrears or whose mortgage has been restructured.
So ptsb could not charge 3.5% on a performing loan and 6.5% on a loan which has been restructured.
So by selling the loan to a vulture fund, this section of the CCMA becomes unenforceable.
So I would argue that Pepper is in breach of the CCMA by not offering the rates being offered by the lender who sold the loan.
Brendan
Didn't @Brendan Burgess concede elsewhere that he was mistaken on this issue?Hi Brendan. Can you point me to where in the Code it says that please? Start Mortgages are disputing this and I want to quote tthe sections back to them. Also why has regulator not come out and said this? Thanks
Ok Brendan thanks.We need to have our facts absolutely straight when taking on these funds. Is there any progress being made on the issue generally? Any idea where the regulator is at on this?Hi Sally
Clubman is right. I had always assumed that the CCMA said this but it doesn't.
Brendan
The Central Bank and the State’s banking lobby group have been called on to put pressure on vulture funds to offer fixed rates to under-pressure mortgage holders.
Around 113,000 borrowers who took out their loans years ago with mainstream banks, and who later fell into difficulty, had their mortgages taken over by vulture funds.
Around 38,000 of these are on variable rates and their payments have gone up each time the European Central Bank has hiked its key lending rates.
Pepper has offered to put its customers who are in difficulty on fixed payments once they fill out a detailed standard financial statement and supply details of their situation. But it won’t offer fixed rates as standard.