A Central Bank inspection of how some mortgage lenders are dealing with customers in arrears has led to €70,000 being refunded to more than 3,000 account holders.
The bank was looking at whether lenders were complying with the revised Code of Conduct on Mortgage Arrears (CCMA), which lays down rules for dealing with customers struggling with mortgage repayments.
The Central Bank found that two mortgage lenders were in full compliance, while four were not, though they had taken steps to do so.
As a result of the inspection, the bank is extending a list of charges which are prohibited under the CCMA to provide further protection to mortgage holders in arrears. It has also asked mortgage lenders to look at the future application of some charges such as 'debt counsellor call out' charges.
Central Bank director of consumer protection Bernard Sheridan said the refunded amounts were small, but were significant to those mortgage customers who were in arrears.
