Mortgage holders association plans to sell home loans

Having campaigned against the banks for their shabby treatment of mortgage arrears customers, the Irish Mortgage Holders Organisation is now considering selling their loans as a means of funding its activities.

IMHO co-founder and director David Hall has confirmed to The Irish Times that the advocacy group intends to seek authorisation from the Central Bank to become a mortgage intermediary.

“We are looking at becoming a mortgage broker ... probably in the second quarter of next year,” Mr Hall said. “We’ve been looking at it for the past number of months.”

Mr Hall said any funds generated by selling home loans would be used by the not-for-profit organisation to fund its services. Its operating deficit is currently about €30,000 a year.

Arrears deals

The IMHO was set up two years ago and has so far advised about 5,500 people in mortgage arrears. It runs schemes with

AIB

and KBC to secure deals for arrears customers.

Mr Hall said the IMHO would be fully transparent with borrowers about the commissions it could earn from the various banks.

“We will tell people how much commission is being offered by each bank,” he said. “They can then make their decision. At the end of the day, we don’t care which mortgage they take out.”

Mr Hall also plans to declare in January his intentions in relation to the next general election, having polled well as an Independent in the Dublin West byelection this year.

“The question is where can more be done,” he said. “I have one eye on that [politics] and one eye on new services here [IMHO] that would be beneficial for us.”