“Powerful” Dáil Committee Just Woke Up To The Repossession Scam
The Independent reports today something we in DDI have been shouting about since this bank bailout began. Apparently the “powerful Oireachtas Finance Committee” has just realsied 6 years after the crash that banks are deliberately targeting certain properties for repossession from which they can get a better financial return when they sell it.
This article focuses on banks targeting homes that are in positive equity, but our members have been talking about this practice for years, especially when it comes to putting receivers in control of businesses that are in debt but still profitable going concerns, thus denying the owner the right to pay off their debts from the fruits of his own business.
RBS has been under investigation for this practice in the UK and of course we know that RBS operated the same system here and through it’s subsidiary. The game was to steer struggling businesses into default and make huge fees in the process before cashing in. Our members have seen this process mirrored in Ireland across the banking sector for many years and it astonishes us that this “powerful” committee is only realising now that the same trend is happening to homeowners. Sadly this is not new either.
We call on the committee and government to do more than recommend the banks be nicer to us, and instead show us how “powerful” they are and impose strict regulations with enforceable criminal penalties on banks who engage in this activity. We are glad to see the suggestion that when a bank voluntarily possesses a home the balance should be written off; after all when people take out a mortgage with the house as security, that is the only security they gave, nothing more; which begs the question why judgements for the balance are even given by courts.