Right, but if the funds were regulated can you name anything specific that would be different or of additional a benefit to defaulted borrowers?
Andy,
Quite simply, the funds lobbied Government very intensively not to be regulated, so much so, that the Government of the time, disregarded the Governor of the Central Bank of Ireland, Mr Patrick Honohan's concern regarding this issue.
http://www.thejournal.ie/honohan-vulture-funds-ibrc-warning-1441483-Apr2014/
In reply to your question, I believe section 28(f) of the Consumer Protection (Regulation of Credit Servicing Firms) Act 2015 provides the answer, it states
“(2) For the purposes of this Part ‘credit servicing’ does not include—
(a) the determination of the overall strategy for the management and administration of a portfolio of credit agreements,
(b) the maintenance of control over key decisions relating to such portfolio, or
(c) taking such steps as may be necessary for the purposes of—
(i) enabling the undertaking of credit servicing by another person, or
(ii) enforcing a credit agreement,
A key decision relating to a portfolio would include the setting of the variable interest rates for the portfolio.
In other words these functions are still unregulated and the vulture funds can do what they wish with regard to those exemptions listed.
These exemptions were put in at the specific request of lobbyists for the vulture funds to the Dept of Finance and Dept of Taoiseach.
Andy, what I can say is that vulture funds are going to be regulated (FG and FF have already agreed to this) and political expediency triumphs everything else, no matter what any other posters might say or quote.