Bank refused offer of €50,000 to clear mortgage debt

 
Repossession of family home labelled a ‘disgrace’ in court


Edwin McGreal

A bank refused an offer of €50,000 to clear the mortgage debt on a family home in Balla.
Instead they were granted possession of the home yesterday (Monday) at the County Registrar’s Court in Castlebar after applying to seize the property.
Bank of Ireland took the application against a married couple of two children (names withheld) following an accumulation of arrears on the mortgage.
The court heard that two separate loans were taken out against the property in 2003 and 2005, amounting to €107,000 in total.
Difficulties meeting repayments had led to arrears of over €28,000 on the loans and the total owed currently is €85,974.12.
Counsel for Bank of Ireland told the court that an offer of €50,000 was made in December 2015 ‘in full and final settlement of the debt’.
However, he added ‘the bank said it is not possible to engage in a debt write down’.
County Registrar Fintan Murphy granted the order sought by the bank seeking possession of the home.
Two people in the public gallery slammed the decision.
“This is worse than the Black and Tans. How can you (Mr Murphy) sit up there and give the banks everything they’re asking? This is ridiculous in 2016. It’s morally wrong,” said one man.
“They offered €50,000 and their two children are living in the house,” said another man in the public gallery.
The couple in question were not present in court.
It was one of several heated scenes during the court. There was a strong garda presence in the courtroom and in the courthouse itself. Two men left the courtroom at the request of gardaí under the provisions of the Public Order Act after both men spoke out in court, at different times.
A protest against repossessions of family homes also took place on the steps of the courthouse during the court hearings.
County Registrar Fintan Murphy granted orders for repossession in four cases, of which only one was with the consent of the property owner. Three of these were family homes while the fourth was described as ‘unfinished and unoccupied’.
Many more of the 75 cases before the court yesterday were granted short adjournments and were described by Mr Murphy as ‘going down the road’ of repossession. One such case was where a homeowner had taken a case to the Data Protection Commissioner against Start Mortgages Limited.
The final case before the court heard of what Mr Murphy described as a ‘sad bereavement’ in the family of the property owner.
Counsel for Bank of Ireland told the court the bank was aware of the ‘difficult situation’ but that his instructions from the bank were still to seek a final order to seize the property.
Mr Murphy said he would not grant the order yet and suggested the Money Advisory and Budgeting Service (MABS) be approached by the property owner.
“My jurisdiction is extremely limited. The bank have their view of things,” said Mr Murphy.
He adjourned the case to September 12.