‘Vulture funds easier than in banks, says Minister

  • ‘Vulture funds easier than in banks, says Minister
    Independent.t. E.
    The Minister defended arms is an approach to vulture funds, saying they were easier than in banks.
    https://www.independent.ie/business/personal-finance/vulture-funds-easier-to-deal-with-than-the-banks-says-minister-37217577.html
    https://www.independent.ie/incoming/article37091618.ece/02a25/AUTOCROP/h342/81Michael%20D1Arcy1Fi.jpg

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The Minister defended arms is an approach to vulture funds, saying they were easier than in banks.

Junior Finance Minister Michael D’arcy said that in his personal experience, funds that buy up troubled mortgages, are interested in doing deals with homeowners.

His comments came after Ulster Bank sold 5,200 mortgages in the US firm cerberus, which debt activists say, to see the people “to the wolves”.

Tranche of bad debts is transferred to the Ulster Bank with a nominal value of €1.4 billion and includes 2,300 mortgages.

The sale comes hot on the heels on such a move permanent TSB who made a deal with another American Fund, Lone Star.

The government faces criticism that it allows banks to transfer their dirty work for companies that are not subject to the same regulatory standards. Independent Minister of the Alliance Shane Ross also spoke about the activities of vulture funds as “unacceptable”.

However, Mr D’arcy told the Irish independent policy that some analysts look at the situation too simplistically.

“My sense is that the Irish banks have decided that they are not going to do a write-off. I know that the funds actually accept what they can do,” he said.

The Wexford TD, who works together with the Finance Minister Paschal Donohoe, who questioned the prevailing view was that the vulture funds are likely to seek repossessions.

“I think it’s probably overstated. They have a different business model than banks.

“Back in my time on the Finance Committee of Parliament, I remember, we asked Richie Boucher [former chief Executive officer of the Bank of Ireland] why are they doing this write-off to commercial customers, not private individuals. The answer was that they are not,” Mr D’arcy said.

In connection with the Ulster Bank move, the Minister said that the government may not interfere, as the Bank owns in the UK.

However, he noted that there were 17 pieces of “regulations or guidelines”, introduced in the region since 2011.

“One every six months to protect homeowners and mortgage holders,” he said.

Press Secretary of the Ministry of Finance of the party Michael McGrath criticised the statements of the Minister, claiming that while the vulture funds make suggestions, “which usually leads to loss of home.”

“If people want to restructure the mortgage, such as a change in the division of a mortgage loan, they much better the chances that the Bank”, – he said.

“You are quite unable to offer [to the Fund], but it almost certainly entails the loss of the house and for most people this is not hope.”

Mr. Ross said he will support the bill put forward by Mr. McGrath, which will allow you to enter a Position on vulture funds, which buy Irish loans.

He said the independent Alliance has already supported the bill, which came to office with the goal of keeping people in their homes.

“It’s deeply regrettable to me that people’s mortgages are currently being considered as a commodity, when in fact people depend on them for their livelihoods and ability to stay in their homes,” he said.

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