The Central Bank and Financial Regulator have published proposals aimed at reducing the financial hardship of people in the recession.
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The suggested measures seek to protect people who fall into arrears on their mortgage payments.
Under the proposed rules, banks or building societies would still have to wait 12 months before applying to the courts for repossession of someone's home if the person in arrears is co-operating with the bank.
In addition, if homeowners agree to a new repayment arrangement, the 12-month period would start only when they fall into arrears under the new scheme.
Lenders must also wait for the outcome of any complaint or appeals process before applying for repossession of a home.
The regulator's proposals for the Code of Conduct on Mortgage Arrears (CCMA) include some recommendations made by a Government-appointed expert group that reported last month.
Among these is a requirement for financial institutions to set up a Mortgage Arrears Resolution Process (MARP), a framework for handling cases where homeowners are struggling with repayments.
The new code would also require lenders to explore 'all viable options' and alternative repayment measures with homeowners.
It would also stop lenders from forcing people to change from a tracker mortgage to another type of mortgage.
The regulator is also seeking views from interested parties about what constitutes arrears, as it says some financial institutions are using different criteria.
The regulator also proposes that mortgage lenders must set up an appeals process for homeowners.
