With Halloween now behind us, Christmas has become the focus of many. While the holiday can bring joy to many, it can be a time of huge financial pressure for others.
Brian Hayes said that it was a matter for the Financial Regulator but he believes that financial penalties against the bank should be considered in the wake of its current problems.
Former trader Nick Leeson is fed up with the light-touch reporting on the Bloxham demise – and with what he deems as inaction by the Central Bank and Financial Regulator.
Matthew Elderfield has told banks that he will take action if they fail to comply with an instruction to stop hiking interest rates on variable rate mortgages.
Former trader Nick Leeson says lessons never seem to be learned by regulators – but we should focus on some suggestions from the British Chancellor to ensure history doesn’t repeat itself.
THE FINANCIAL REGULATOR says it’s time that tracker customers were informed of the implications of switching their mortgage.
Matthew Elderfield’s office today published the findings of a study into “switching practices relating to tracker mortgages.”
The findings have also been sent to all mortgage lenders, along with new measures the regulator says should be implemented immediately.
The study found:
[I]n some cases communication on the financial implications and consequences of switching were not fully transparent to the customer and that it was not always clear that if a customer moved from a tracker rate mortgage to an alternative interest rate (fixed, variable or other rate), for any reason, that their agreed tracker rate or an alternative tracker rate might not be available again in the future.
It did not find any evidence that customers were being offered incentives to switch from their tracker rate.
The regulator has requested that banks include new information regarding tracker mortgage switching in all customer communications.
THE CENTRAL Bank and Financial Regulator have published a report proposing methods to help people who are experiencing financial problems during the recession.
Banks and building societies would (still) have to wait 12 months before applying for a home repossession, if the person in arrears is cooperating
If homeowners sign up to a new repayment arrangement, the 12-month period would start only when they fall into arrears under the new scheme
Information must be provided to borrowers in clear English when they go into arrears
Lenders would have to wait for the outcome of any complaint or appeals process before applying for repossession of a home
Lenders would be required to explore “all viable options” and alternative repayment measures with homeowner
Lenders would be stopped from forcing people to switch from a tracker mortgage to another type of mortgage
Lenders would be required to set up an appeals process for homeowners
Lenders would be required to have in place a Mortgage Arrears Resolution Process (MARP) as a framework for handling arrears and pre-arrears cases
The Mortgage Arrears and Personal Debt Expert Group, who put together the proposals, are seeking feedback from any interested parties. It asks that all suggestions be made by 3 September.
Find more information on the Financial Regulator‘s website, or email suggestions (which you would not mind being published publicly) to: code@financialregulator.ie.
CREDIT UNIONS are the next financial institutions to be examined by the Central Bank and the Financial Regulator. Minsiter Lenihan requested the review of the credit unions to identify the laws and regulation required for the sector.
The first phase of the review will focus on the finances and risk profiles of credit unions across Ireland.
A joint statement from the Central Bank and the Financial Regulator today said:
In the current challenging economic environment it is important in the interest of members and the sector as a whole that there is a strong and healthy credit union sector.
They said that “strong leadership” of the credit unions will be necessary for steering them through “these uncertain times.”
There are over 500 credit unions with 2.9 million members in Ireland, according to the Irish League of Credit Unions.
MINISTER JAMES REILLY has started a campaign to control the costs of health insurance this week with the appointment of an independent expert to chair a forum of providers.
The Fine Gael TD has voiced his disappointment at rising premium prices in recent weeks but insurers insist they have been forced into the increases because of higher charges for public hospital beds and a government levy.
Regardless of where the expenses originate, the customer has experienced annual hikes in their payments, to the point where many have reduced their cover or cancelled it entirely. Last month, figures from the Health Insurance Authority showed the percentage of the population with cover fell to 45.3 per cent.
Today, we ask about your own experiences. Have you given up your health insurance in recent years?
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