Sinn Féin

06/29/2020 | News release | Distributed by Public on 06/29/2020 10:33

Banks must reverse blanket mortgage ban for applicants availing of Wage Subsidy Scheme – Pearse Doherty TD

29 June, 2020 - by Pearse Doherty TD

Sinn Féin Finance spokesperson Pearse Doherty TD has criticised the banking sector for implementing what has been reported as a de-facto ban on mortgage applications for customers receiving payments through the Temporary Wage Subsidy Scheme.

The Donegal TD has written to the CEOs of the five retail banks requesting clarity on the application of this de facto ban and the status of deposits paid by customers who have now been rejected a mortgage.

Speaking today, Teachta Doherty said;

'Today it was reported that AIB has put in place a de facto ban on mortgage lending to customers receiving payments through the Temporary Wage Subsidy Scheme.

'Myself and Deputy Mary Lou McDonald raised this issue with AIB last month and were told that no such blanket policy existed. It is clear that this has now changed.

'This is neither proportionate nor fair, and will effect more than 400 thousand workers availing of the Temporary Wage Subsidy Scheme.

'This blanket ban will affect countless customers despite the fact that they have not lost their job, and have seen neither their income nor their hours reduced. Their employment is secure.

'Such a blanket ban takes no regard of this fact.

'This policy also places in jeopardy the deposits paid by those who have now had their mortgage application declined or mortgage approval withdrawn.

'I have written to the CEOs of the five retail banks to clarify this issue.'