The Independent Mortgage Advisors Federation has confirmed a number of sub-prime lenders in Ireland have been forced to increase interest rates on home loans.
Nua has put up rates and the country's largest sub-prime lender, Smart, is in discussions about increasing rates.
Sub-prime lenders already charge an average of 7% to 8% interest and are to increase rates by between 0.5% and 0.75%.
They target people with poor credit histories by offering loans with higher than normal interest rates.
In the US many of their customers have been unable to pay those mortgages.
That has prompted all the banks which fund sub-prime lenders to put up interest rates on their wholesale funding.
