One of Ireland's best-known advocates for distressed mortgage holders is providing a new service, funded by AIB.

David Hall says the new 'polluter pays' advisory service will take queries from people in arrears with AIB, EBS and Haven.

His group is to offer advice in an independent third party capacity. There will be no fee for those who avail of the new service from the Irish Mortgage Holder's Organisation.

22.7% of AIB mortgage holders are in arrears of over 90 days or more – that’s about 14,000 mortgages. 

David Hall of the IMHO spoke to Newstalk's Pat Kenny show earlier: 

Mr Hall pointed out that, though the service is being funded by AIB, he will remain free to criticise the bank. He is insisting that it is not AIB's procedures that are being followed, instead "...the management, operation and negotiation and the processes to be followed are the Irish Mortgage Holders Organisation's, not AIB's."

He has given a commitment that no family home will be sold off unless there is a full deal done on any residual debt the distressed borrower might have - that means debt may be written off or nominal payment plans agreed. He has admitted though that in some cases, 'long term solutions might end with the sale of the property'.

Dragging heels

David Hall has accused the banks of dragging their heels on the mortgage crisis, claiming the institutions are - between them - holding 1500 properties back from the market. He said they are waiting for property prices to improve to the point where they will make more money off sales of repossessed homes. He has described that as a failed policy, saying mortgage arreas have piled up faster than prices have improved.

 

For information or advice on the new service, visit www.AIB.ie or the Irish Mortgage Holders Organisation website. The office opens on the 18th of November - if you are in distress in the meantime, you are advised to leave your contact details on the IMHO website.