asked the Minister for Finance if he is aware of the fact that Irish commercial banks are refusing to accept prize bonds as collateral for loans and overdrafts with the result that investors are forced to redeem bonds to the consequent detriment of the prize bond fund; whether this is a result of administrative advice by his Department; and, if not, if he will advise the banks that these bonds should be accepted as collateral in a manner similar to other government securities.
Ceisteanna—Questions. Oral Answers. - Acceptance of Prize Bonds as Collateral.
40.
Prize Bonds are not transferable and are, therefore, unsuitable as a security for a loan or overdraft as, in the event of the borrower defaulting, the lender would be unable to obtain title to them.