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AIB writes off €150k to allow family stay in home

The deal was negotiated on the family’s behalf by the Irish Mortgage Holders Organisation.

Image: home image via Shutterstock

AIB HAS WRITTEN off €150,000 of a mortgage to allow the owners to stay in their family home.

RTÉ reports this morning that the agreement was negotiated between the bank and the homeowners through the Irish Mortgage Holders Organisation. The owners are a married couple with two children and they are now required to pay around €200,000 of the original €400,000 loan.

Speaking on Morning Ireland today, David Hall, Director of the organisation, said it was the largest write-down that he was aware of. He said that every case has “individual specific circumstances pertaining to their particular place – where they live, their financial circumstances, the value of the property, the loan amount”.

He explained that in this particular case, it was in the best interests of both the bank and the family to keep them in their home when repossession costs and the current value of the property were taken into consideration. The property is now valued at around €200,000.

Hall said a number of deals have been brokered between AIB and its customers since the bank entered into an arrangement with the organisation last year which allows it to informally negotiate on behalf of homeowners.

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