What is MARP and how does it protect me if I am in mortgage arrears in Ireland?
MARP stands for the Mortgage Arrears Resolution Process. Under the Central Bank's Code of Conduct on Mortgage Arrears (CCMA), your lender is legally required to engage with you through the MARP before taking any legal action. The MARP involves four steps: communication, financial information, assessment, and resolution. Your lender cannot begin repossession proceedings while MARP is ongoing.
What is a Standard Financial Statement and why does my lender need it?
A Standard Financial Statement (SFS) is a detailed form your lender will ask you to complete setting out your income, expenditure, assets, and liabilities. It is used by the lender to assess your financial position and determine what alternative repayment arrangements may be suitable. You must complete this honestly and fully to engage properly with MARP.
What alternative repayment arrangements can a lender offer under MARP?
Lenders must consider a range of options including: interest-only payments for a period, a temporary payment moratorium, extending the mortgage term to reduce monthly payments, capitalising arrears, a split mortgage (splitting the debt into an active and warehoused portion), and voluntary sale. The appropriate arrangement depends on your SFS and your long-term financial prospects.
What is the ABHAILE scheme in Ireland?
ABHAILE is a free State-funded mortgage arrears support scheme for homeowners in serious difficulty. It provides free advice and assistance from a Personal Insolvency Practitioner (PIP), a financial adviser, and where needed a solicitor. You must be in arrears on your primary home and have received a letter from your lender to qualify. Contact MABS at 0818 07 2000 to access ABHAILE.
What can a Personal Insolvency Practitioner do for me if I am in mortgage arrears in Ireland?
A Personal Insolvency Practitioner (PIP) is a regulated professional who can help you negotiate a Personal Insolvency Arrangement (PIA) with your lender. A PIA restructures secured and unsecured debt and can allow you to remain in your home with reduced or restructured mortgage payments. A PIP under the ABHAILE scheme is provided free of charge.
What is the repossession process in Ireland and how long does it take?
Mortgage repossession in Ireland proceeds through the Circuit Court. Your lender must have completed the MARP process before issuing proceedings. The court process typically takes 1 to 3 years. You have the right to appear and raise defences. The court may adjourn proceedings to allow you time to sell the property or reach an arrangement with your lender.
What is the Mortgage-to-Rent scheme in Ireland?
The Mortgage-to-Rent (MTR) scheme allows borrowers in serious mortgage arrears to transfer ownership of their home to an approved housing body or local authority and remain in the property as a social tenant paying an income-related rent. The lender must agree to accept the proceeds of the transfer in full settlement of the mortgage. You must qualify for social housing to be eligible.
What does the CCMA require of lenders dealing with mortgage arrears in Ireland?
The Central Bank's Code of Conduct on Mortgage Arrears (CCMA) sets out mandatory requirements for lenders. These include: communicating proactively with borrowers in arrears, not requiring full repayment of arrears as the only solution, considering all MARP options before legal action, not charging penalty rates that make arrears harder to resolve, and not harassing or applying undue pressure on borrowers.
Can I get free legal help to defend a mortgage repossession in Ireland?
Yes. The ABHAILE scheme provides free solicitor assistance through the Legal Aid Board for homeowners facing repossession proceedings in the Circuit Court. Eligibility is not means-tested — if you have received a repossession summons for your primary home, you are entitled to this assistance. Contact MABS immediately at 0818 07 2000 to be referred.
How does uplaw.ai help with mortgage arrears in Ireland?
Tell uplaw.ai your arrears situation — how much you owe, what stage of the MARP process you are at, and what your lender has communicated. uplaw.ai will help you understand your MARP rights, prepare your Standard Financial Statement, and identify whether the ABHAILE scheme or a Personal Insolvency Arrangement is appropriate for your situation.
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