12 Month Mortgage Respite Insufficient – Toireasa Ferris
EU Candidate, Councillor Toireasa Ferris, said this morning that the 12 month mortgage respite on offer by the Bank of Ireland and the AIB was insufficient and took no account of the economic situation. She called for a combination of a longer respite and a reduction of the mortgage to reflect a realistic value of the property. Toireasa Ferris said: "The response by the banks to offer a 12 month period before action is taken by mortgage defaulters in exchange for being bailed out by the tax payer takes no account of the economic situation." "People a year into unemployment are not going to be in any better position to pay off their mortgage, This period of grace must reflect the likelihood of people having the opportunity to get back into work. If not we are looking at a wave of evictions and repossessions in a years time. This will lead to untold hardship and further depress the property market." "I believe that a longer period of grace combined with a reduction in the value of the mortgage to reflect the true value of the property will bring some sort of ease to people and a some stability to the situation."