Homeowners who fall behind with mortgage repayments this month could find themselves before the courts by Christmas and ultimately facing repossession under a new Central Bank Code of Conduct on Mortgage Arrears.
The new code, described by consumer protection advocates as “absolutely appalling”, removes a 12-month moratorium on legal action designed to protect homeowners vulnerable to repossession. Though it was unclear last night, this is also likely to apply to those already in arrears.
Due to be published next week, the code instead gives homeowners who have exited the Mortgage Arrears Resolution Process (Marp) two months before legal action can be taken against them.
Figures released earlier today show that 144,000 people are currently in mortgage arrears.
Read the full story in today’s Irish Times.