The Irish Mortgage Holders Organisation has said 22 AIB customers have had a portion of their mortgage debt written off by the bank as part of settlements reached in the past three months.

The group, which was set up to help struggling borrowers, said an initiative between it and AIB has resulted in 123 long-term sustainable solutions being agreed for mortgage customers.

The IMHO entered an arrangement with AIB in November to act as a trusted third party body to advise distressed mortgage holders.

Three months into the arrangement, both sides say it has proven to be a success.

Included in the agreements were 22 cases involving debts that were written off by the bank.

They related to properties that were voluntarily surrendered by the occupants because the debts on them were unsustainable.

In each of those cases the borrowers agreed to make payments of between €0 and €900 per month for up to seven years depending on their income, and the balance of the debt was written off.

When asked about the debt write-downs, AIB said it had facilitated a compromise arrangement in a number of cases.

It said each loan is examined on a case-by-case basis depending on affordability.

The IMHO is hoping its scheme with AIB will be extended to include other banks.

IMHO Director David Hall said 1,011 packs were sent to people who contacted the organisation and 460 were returned.

From those, 260 deals were proposed to the bank and a further 100 are being processed by the IMHO at the moment.

Speaking on RTÉ's Morning Ireland, Mr Hall said the 123 deals vary from split deals, term extensions and rate reduction.

He said: "I believe this is a template to go forward in order to deal with the mortgage arrears crisis."

Mr Hall said the IMHO has had two informal contacts with two of the major banks and one of the subprime lenders.

He said the organisation has found a very clear message over the past few months and that is people do not want to deal with banks directly.