Dáil Éireann Debate, Tuesday - 25 May 2010
127 Deputy Leo Varadkar asked the Minister for Finance if a sole trader or small-medium enterprise who has a performing loan may seek a review from the credit review office where a bank uses a standard annual review clause to either increase the margin applicable to the loan over EURIBOR or apply an excessive renewal or annual charge; and if he will make a statement on the matter. [21440/10]
View answer128 Deputy Leo Varadkar asked the Minister for Finance if a sole trader or small-medium enterprise who has an overdraft operating within the approved parameters and reverting regularly to credit may seek a review from the credit review office where a bank uses a standard annual review clause to either increase the margin applicable to the overdraft over EURIBOR or apply an excessive renewal or annual charge; and if he will make a statement on the matter. [21441/10]
View answerI propose to take Questions Nos. 127 and 128 together.
A sole trader or SME is entitled to seek a review from the Credit Review Office where they consider that the terms or conditions attached to a credit facility or its price are so onerous as to amount to a constructive refusal on the same basis as when an application for credit is actually refused. This applies regardless of whether they have an existing performing loan or overdraft operating within approved parameters.
129 Deputy Leo Varadkar asked the Minister for Finance if a sole trader or small-medium enterprise may seek a review from the credit review office where a bank seeks to remove or reduce overdraft facilities; and if he will make a statement on the matter. [21442/10]
View answerA sole trader or SME is entitled to seek a review from the Credit Review Office when there is a reduction or removal of an overdraft facility on the same basis as when an application for credit is refused. I would strongly urge businesses to avail of the opportunity for an independent review of decisions to enhance their chances of obtaining credit or retaining existing credit.
