Tuesday, 21 May 2019

Ceisteanna (200)

Michael McGrath

Ceist:

200. Deputy Michael McGrath asked the Minister for Finance his views on the impact of putting the code of conduct on mortgage arrears on a statutory footing either through primary legislation or secondary legislation by way of regulation; and if he will make a statement on the matter. [21987/19]

Amharc ar fhreagra

Freagraí scríofa (Ceist ar Finance)

The Code of Conduct on Mortgage Arrears (CCMA) is already a statutory Code that was put in place to ensure that lenders have fair and transparent processes in place for dealing with borrowers in or facing mortgage arrears.  Section 117 of the Central Bank Act 1989 provides the Central Bank with the power to impose Codes of Conduct, including the CCMA. 

I am advised by the Central Bank that such codes of conduct are required to be complied with as a matter of law of any regulated entities to whom they apply.   The Central Bank has the power to take action, up to and including enforcement action, against any regulated firm for non-compliance with a Code (for example by imposing a direction on such entity or taking enforcement action under the Central Bank’s Administrative Sanctions Procedure).