Banks urged to listen to defective blocks homeowner proposals

The banking sector has been urged to listen to “common sense proposals” from defective block homeowners.

Homeowners from Donegal have met with a number of banks to discuss ways to help alleviate financial pressures as a result of the defective blocks crisis.

Members of one of the recently formed defective blocks focus groups traveled to Dublin with Donegal Sinn Féin TDs Padraig Mac Lochlainn and Pearse Doherty recently to hold talks with representatives of AIB, Bank of Ireland and Permanent TSB.

Deputy Mac Lochlainn said he was “very impressed” by the members of the focus group and urged the banks to listen to what they had to say.

Deputy MacLochlainn revealed that the focus group and his party's finance spokesperson Pearse Doherty have also been in contact with the Banking and Payments Federation and the Central Bank.

The Banking and Payments Federation Ireland (BPFI) is the main representative body for the banking and financial services sector. The BPFI comprises domestic and international banks and financial services institutions operating in Ireland, and works with members, government, the Central Bank and other groups to support the development and growth of the banking sector.

The Buncrana-based TD said the Central Bank was given a test case by Deputy Doherty for guidance on the issue.

“Myself and Pearse Doherty were very impressed by the focus group,” Deputy Mac Lochlainn said. “The amount of work they have done in relation to the banks has been amazing.

“What they are calling for is very reasonable, such as interest free bridging loans and penalty free charges.

“These are not outrageous demands they are common sense proposals that the banks need to listen to. The banks have hundreds of million euros on their mortgage book in Donegal, they need to start actively helping homeowners now.

“We also need the Government to step in and engage with the banks on behalf of homeowners.”