Banks may be agreeing to loan write-offs
The Irish Independent have reported that banks may be agreeing to secret loan write-offs.
Banks may be doing secret deals to write off personal loan and credit card debt.
The Independent have reportedly uncovered evidence that a number of different banks have done deals, though they say lenders will not acknowledge them officially.
The Bank of Ireland insisted it was policy to demand repayment of a dent in full.
Bob Quinn from Kildare company Moneyadviser.ie apparently provided the Independent with a letter from the Bank of Scotland in relation to the settling of a credit card debt.
To an extent it is hard to verify the scope of the findings, especially when considering it is not necessarily extremely unusual for a company to accept full a reduced final settlement offer for loans/credit.
The bank did say the following in a statement:
“Bank of Scotland will not comment on our banking relationships with customers.
“However, whenever our customers are experiencing genuine financial difficulty and unable to meet their contractual payments to the bank, then we work with them to find a suitable solution that is best for all parties, but this is done on a case-by-case basis.”
Reading between the lines this may offer some hope to loan customers in arrears that a solution may be possible.
If you are in financial difficulty you should always speak to your lender at the earliest opportunity, ideally before missing any payments.
You may be able to restructure a loan or agree to temporary payment holiday.
Article by LoansIreland.ie.
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