The chief executive of Bank of Ireland says there are legal issues around taking partial ownership of someone's home.

Richie Boucher says a deal to take part ownership of someone's house, in exchange for forgiving part of their mortgage debt, is something the bank would consider, but he has told an Oireachtas committee there are legal obstacles in terms of a bank's capital requirements.

Mr Boucher also says 2,880 customers in mortgage arrears haven't made any effort to contact the bank to work out a deal.

"Whatever your reason for not engaging with the bank, the customer is making a decision not to engage. That decision not to engage leaves us, and the customer, with a much narrower range of options."

He said the majority of distressed customers on his bank's books are on tracker mortgages. 

In response to deputies' concerns that the bank is pursuing repossession too agressively, Mr. Boucher said "We do not anticipate that all customers, where a legal process has commenced will end up in a repossession scenario. What we have found is that as the first solicitor's letter arrives, then engagement does pick up with our customers."

He also told the committee that the bank has made a profit for the taxpayer, after a State investment of €4.7 billion. 

Mr. Boucher added he doesn't believe Bank of Ireland was as adversely affected by the mortgage crisis as others.

Priory Hall

Mr. Boucher says he can't predict how his bank will deal with mortgage customers at Priory Hall, who are in the process of making proposals to the bank.

Yesterday the chief executive of AIB told the committee that his bank would consider writing off debt where it was appropriate.

Bur Mr Boucher says he's not willing to predict what measures Bank of Ireland may offer "We are open to a range of solutions, depending on the individual circumstances of the customer, and the particular aspects of the Priory Hall situation. I don't know what AIB offered or said yesterday. We will look at it aswell, but I don't know what they said."

College Green

He has meanwhile confirmed that the bank has no plans to hand over its flagship branch in central Dublin.

The government had asked the bank to consider the move, in return for the taxpayer's bailout.

The building has historical significance as the former home of the Irish Parliament in the 18th century.

But Chief Executive Richie Boucher says the bank is making a profit for the taxpayer, and the branch is too important to hand over "Our College Green branch is our largest branch in the country, it is a key branch in particular for Trinity College, it is our most profitable branch, it is also a cash centre. So it's a commercial asset. We are a privately owned who is repaying the tax-payer."

The committee's proceedings are being live streamed from Leinster House this afternoon: