25% of subprime loans restructured

BoyRacer · February 3, 2014, 6:25am

25% of subprime loans restructured - Vincent Ryan → irishexaminer.com/business/2 … 57493.html

Only a quarter of subprime mortgages have been restructured and the lenders cannot be forced by the Government to speed up the process as they are not bound by the mortgage resolution targets.

In a response to a parliamentary question from Fianna Fáil’s finance spokesperson Michael McGrath, the Minister for Finance Michael Noonan said that only about a quarter of subprime mortgages in Ireland have been restructured.

“The Central Bank has advised that for the subprime category of lender, there are 17,807 primary dwelling homes accounts of which 4,341 have been restructured. In addition, out of the 659 buy-to-let mortgage accounts, the Central Bank has advised that 68 have been restructured,” he said.

Although subprime lenders only account for 3% of mortgage lending due to the profile of their clients they account for 10% of total arrears.

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