Tuesday, 28 May 2019

Questions (499)

Michael McGrath

Question:

499. Deputy Michael McGrath asked the Minister for Housing, Planning and Local Government his plans for a revised credit policy in respect of the Rebuilding Ireland home loan scheme to include a provision to provide persons who previously owned a home but that have gone through bankruptcy the opportunity to apply for a loan rather than being deemed ineligible in view of their not being a first-time buyer; and if he will make a statement on the matter. [22746/19]

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Written answers (Question to Housing)

Applicants for the Rebuilding Ireland Home Loan must be of good credit standing and have a satisfactory credit record. The Housing Agency provides a central credit assessment service to local authorities and credit checks are undertaken as part of the credit assessment process. The final decision on loan approval is a matter for the relevant local authority and its credit committee on a case-by-case basis. Decisions on all housing loan applications must be made in accordance with the statutory credit policy, that underpins the scheme, in order to ensure prudence and consistency in approaches in the best interests of both borrowers and the lending local authorities.

A person who has been discharged from bankruptcy and is eligible in all other respects, including being a first-time buyer, for a Rebuilding Ireland Home Loan may apply for a loan and will be subject to the same credit assessment process that applies to all applicants.

As with the previous local authority home loan offerings, the Rebuilding Ireland Home Loan is available to first time buyers only. This is to ensure the effective targeting of limited resources, and I have no plans to amend this requirement.