Dáil Éireann Debate, Wednesday - 4 February 2015
60. Deputy Bernard J. Durkan asked the Minister for Finance the degree to which his Department monitors the activities of unregulated purchasers of loan books; if he is satisfied that such third parties are operating in accordance with best practice; and if he will make a statement on the matter. [5169/15]
Amharc ar fhreagraI understand that most purchasers of loan books have stated they are voluntarily complying with the Codes. Of course voluntary compliance is not enforceable. In order to ensure that consumers maintain these protections, the Government committed in March 2014 to bringing forward legislation to protect consumers whose loans are sold to unregulated entities.
The Consumer Protection (Regulation of Credit Servicing Firms) Bill 2015 was published in January and is scheduled for second stage in the Dail today and tomorrow (4 and 5 February). The Bill was prepared following a public consultation process in July and August of last year which sought the views of interested parties. In total nineteen submissions were received from a range of respondents including the financial services industry, consumer groups, public representatives, individuals and other stakeholders.
This important piece of legislation will ensure that borrowers whose loans are sold by a regulated entity to a currently unregulated entity maintain the same protections as they had prior to the sale. This includes the various Central Bank Codes, such as the Code of Conduct on Mortgage Arrears. Subject to the legislative programme, it is expected that the Bill will go through the Houses of the Oireachtas in the early part of 2015.
