Addressing an Arrears Problem
It is Dublin City Council’s policy that every effort is made to assist borrowers who encounter difficulties in meeting their repayments. If you are experiencing difficulties with repayments a meeting can be arranged where possible with a member of the Mortgage Support Unit to discuss the following objectives:
- Assessment of your overall financial situation and ability to pay based on evidence produced (e.g. Payslips, statements from Department of Social Protection, evidence of loans etc.)
- Referral to MABS - contact details for local MABS office can be issued and/or the Loan Accounts Team can liaise with MABS if authorised in writing to do so by the borrower.
- Advise to apply for Mortgage Interest Supplement (MIS) under the Supplementary Welfare Scheme if applicable. For further information on MIS go to www.hse.ie (Find a Health Service/Benefits and Schemes/Community Welfare Services) or contact the Loan Accounts Section on 01-222 2269
- Apply rental subsidy if applicable in the case of shared ownership accounts. For further information on rental subsidies go to www.citizensinformation.ie (Shared Ownership Scheme/Rates/Rental Subsidy) or contact the Loan accounts Section on 01-222 2269
- Renting out a Room – This may be an option to borrowers to assist them in paying their mortgage
- Rescheduling of repayments- Dublin City Council may consider the options below to make the payment of monthly instalment plus any arrears more manageable for the borrower.
Options available when Addressing an Arrears Problem:
The options that are available to borrowers who are in financial difficulties and are having difficulty clearing their arrears and/or paying their instalment are as follows:
- Interest Only - Allowing the borrower to cease paying the capital element of the instalment for a period of 6 months (referred to as ‘Interest only’, however includes interest, mortgage protection and rent in the case of shared ownership). Interest Only can be extended for a second, third, fourth or fifth period. The unpaid capital remains on the account and must be paid over the remaining term of the loan, thereby requiring an increased instalment when the interest only period finishes. (Evidence of Payslips, Statements from Department of Social Welfare, evidence of loans etc. must be submitted).
- Extending the loan repayment period – this is dependant on the age of the borrower and the existing loan term. In some cases the reduction in the instalment would be minimal and in the long term the borrower would be paying more interest on the loan
For more information
If you have any further queries or would like to make an appointment with a dedicated Loan Accounts Manager please do not hesitate to contact the Mortgage Support Unit on 01-222 5055