Dublin South West TD, Sean Crowe has described Permanent TSB’s sale of €300 million worth of loans to US fund Loan Star, as unacceptable and wrong.
The Sinn Féin TD accused PTSB, of which the Government is a majority shareholder, of taking the easy option rather than find long-term solutions with families.
Start Mortgages, which is owned by Loan Star, will take over servicing of the debt from PTSB.
The portfolio consists of 1,932 borrower relationships comprising 1,422 private dwelling homes mortgages and 510 buy-to-lets.
Deputy Crowe called for the prioritisation of Sinn Fein’s ‘No Consent, No Sale Bill’ which would ensure banks could not sell mortgage loans without the consent of the borrower.
“Unfortunately, Permanent TSB are yet again opting for the easy option by selling out Irish families to the vulture funds,” he said.
“There are thousands of families who have faced or are facing the sale of their loans to vulture funds and the government is doing nothing to stop it.
“This sale by PTSB follows the sell-off of over 10,000 family homes by the bank to the same fund last year.
“No loan is safe under the current rules.
“Sinn Fein’s ‘No Consent, No Sale’ Bill must be prioritised immediately, to protect consumers and families in the face of further sell-offs.
“This legislation would ensure that banks cannot sell on loans without the consent of the borrower.
“Unless this bill or similar legislation becomes law, families will continue to fall prey to the vultures.
“There are alternatives to this great Irish sell off.
“Banks, like PTSB, can work with borrowers rather pursue a sell off of Irish assets and their sell-out of Irish families and tenants.
“Attempts by Fine Gael and Fianna Fáil to obstruct the passage of the No Consent Bill only empowers the banks and emboldens the bad behaviour of vulture funds at the expense of families.”