I can inform the Deputy that the Banks have provided me with the following details regarding staff loans, loan write offs and related matters:
1)
Allied Irish Banks
In line with other financial institutions, AIB had a policy of offering favourable loan rates to staff. This policy has been discontinued for standard new lending to AIB staff.
With regards to workout situations in respect of arrears AIB does not differentiate between staff and non-staff in terms of customer treatment. While acknowledging that no two loans are exactly the same, a consistent approach is applied to all customers, including staff members, in line with AIB's current policies and procedures.
All relevant disclosures in relation to AIB's mortgage portfolio are contained on pages 26-32 of its Half Yearly Financial Report 2013 which is available on its website.
2)
Bank of Ireland
Bank of Ireland does not comment on specific holdings of products by staff as customers.
Bank of Ireland's annual report for the year to 31 December 2012 gives comprehensive disclosures on its Loan Portfolios (including mortgages) in pages 320 to 345.
Comprehensive disclosures on its Loan Portfolios (including mortgages) may also be found in Pages 113 to 139 of the Group's interim financial statements of the six month period ended 30th June 2013.
As a general comment, Bank of Ireland has noted that the prevalence of preferential rates has greatly decreased in the past ten years, as commercial rates are often lower than staff rates, particularly when applicable Benefit-in-Kind (BIK) is taken into consideration.
3)
Permanent TSB
In line with other banks Permanent TSB has offered favourable loan rates to staff. I have been informed by Permanent TSB that a minority of staff (less than 30%) are currently availing of lower or favourable mortgage or other loan rates. Permanent TSB has informed me that no Benefit In Kind has applied on mortgage loans in 2013 given the low interest rate environment.
Permanent TSB provides extensive disclosure on its loan portfolios in its annual and interim accounts. Permanent TSB advises that write-downs are agreed with customers only at the end of a process where other options are not sustainable and customers have fully engaged with the bank. Permanent TSB has informed me that none of its staff have negotiated a write down of their loans.
4)
IBRC
The Special Liquidators can confirm there are no employees currently availing of favourable mortgage or other loan interest rates.
The Special Liquidators confirm that all Borrowers can re-finance their borrowings with other lending institutions however there will be no write down of the debt outstanding.
