Galway repossessions rise as foreign lenders buy up Irish loan books

Foreign lenders are buying up the loan books of Irish banks and then pursuing Galway home owners by seeking repossession orders through the courts.

Almost 200 home owners from the county had cases listed against them at the most recent sitting of Galway Circuit Court.

And at least 500 home owners from Galway city and county will face similar court proceedings before the end of the year.

The vast majority of those who appeared before the courts had simply fallen on hard times during the recession and could not meet their mortgage repayments. But worryingly, a significant number of cases were being taken by foreign lenders who had bought the loan books of Irish lending institutions and were now seeking repossession orders.

Cllr. James Charity, a barrister by profession, said that the impression being given by the Government that the vast majority of repossession orders were issued against those who had bought investment properties during the boom time.

“This is not the case. Those who appeared before the courts last week were real people with real financial problems and fortunately in the vast majority of cases compromises were reached in order to protect their homes.

“But it is a worry that loan books are being bought up by outside lending institutions who are initiating a lot of these repossession orders. Some of them are willing to negotiate, others just want blood,” Cllr. Charity added.

See full story in this week’s Connacht Tribune.