Important information for Consumers about Arrears

It is never easy to think about financial difficulties. However, if times are tight and you find yourself in danger of falling behind on your repayments, it’s important to know what to do. Here we outline what you can do if this happens, what to expect from us and how we can work together towards resolving your repayment difficulties. What you can do?

Be aware of early warning signs – It is important that the early signs of financial difficulty are not ignored as it will be easier to agree a resolution to the situation at an early stage.

Early warning signs that you may be about to encounter financial difficultly may consist of the following circumstances;

• A change in income or employment circumstance (for example, redundancy)
• Illness
• A change in your expenditure or life stage
• A shortfall of income to meet current expenditure

If you (i) feel that you cannot provide for your repayment going forward and/or (ii) already had some problems in providing for the repayments and anticipate experiencing a difficulty with normal repayments you should:

Talk to us – you have a responsibility to tell us about any problems you may anticipate or are already having with repayments as soon as possible. We will work with you to try to reach a mutually acceptable and sustainable solution to the difficulties being experienced in providing for your repayments. Your co-operation is vital to coming to a resolution of your difficulties.

How can we work together towards resolving your repayment difficulties - Once you inform us of any financial difficulties, we can begin to discuss solutions. Your financial difficulty may be a short term problem and we may be able to assist you during this time. We may be able to discuss alternative repayment arrangements. Such arrangements may consist of –

• An interest only period;
• An extension of the loan term;
• If you are having problems, it is essential that you tell us immediately. Keeping in contact helps both of us to manage the situation more effectively. We will consider any proposal you may have to deal with arrears and/or potential arrears. It should be noted that any change to the original terms and conditions of a credit facility is subject to credit approval.

Seek independent advice – we recommend you review your budget to ensure your income is being maximised to its potential. We would urge you to take independent professional advice where necessary. Services such as those provided by your accountant, financial advisor and the Money Advice and Budgeting Service (MABS - www.mabs.ie) can be useful in this regard.

What will we do?

Talk to you – it is our policy to communicate promptly and clearly with you so that we can work with you to try and address the difficulties being experienced. Once you contact us to advise of your difficulties we will encourage you to meet with your Case Manager to allow us to discuss your situation with you. Once we have a better insight into your individual circumstances (with the benefit of additional information which may be required such as external bank statements, payslips etc.), we will work with you to identify the best option for you.

Benefits of dealing with arrears

1. By dealing with an arrears situation early, the further deterioration of your facility may be avoided;
2. Possible solutions can be discussed and an amicable solution may be agreed resulting in less financial stress in your life;
3. We will be aware of the difficulties you face and may be in a position to support you during this time.

You can phone us on LoCall* 1850 708888 (or + 353 1 961 2700 if calling from outside of Ireland) where we are available from Monday to Friday 9am to 5.30pm, excluding Bank Holidays. Alternatively you can write to us at Link Asset Services, Block C, Maynooth Business Campus, Maynooth, Co. Kildare, W23 F854

Methods of avoiding/reducing arrears related charges

Some ways in which you can keep your fees and charges to a minimum are:

Loan Repayments

• Where a direct debit is set up to collect the loan repayments, please ensure that there are sufficient funds in your account to avoid any potential unpaid fees that may be charged by other financial institutions

Where you anticipate any difficulties with making your loan repayments, please contact us to discuss the matter.

What to expect from us.

• Correspondence – when arrears arise we will send you the following correspondence, on a stage by stage basis, to ensure you are fully aware of the position: a) First missed repayment: We will send you a letter outlining the unpaid amount and the applicable fees and charges. b) Arrears unpaid: If the arrears continue, we will send you (and any Guarantor of your mortgage) further correspondence. c) Arrears continue to be unpaid: If the arrears continue, we may send you a third letter telling you that your case may be referred for legal action. If arrears persist we will write to you every 90 days after the arrears first arose;
• Consequences of not addressing arrears – Arrears situations that are ignored ultimately deteriorate. We will always explore alternative repayment options where arrears have arisen and client communication and co-operation is central to this process. We will do our utmost to reach an amicable agreement with consumers. In situations where an amicable resolution cannot be reached and arrears continue to deteriorate we will consider taking legal action and/or may employ an external debt collection agency to recover the debt.

Other useful information for account holders

• The Money Advice and Budgeting Service (www.mabs.ie ) provides a confidential and free service to those seeking budgetary advice and also to those seeking help to manage a heavy debt burden. The IBF/MABS has an Operational Protocol - Working Together to Manage Debt – a copy is available here;
• Please click here for further information for Rabobank mortgage holders in Ireland;
• For more useful information and general guidance for consumers who may be experiencing financial difficulties, check out the following websites:
• Social Welfare: www.welfare.ie
• Citizens Information Board: www.keepingyourhome.ie
• National Consumer Agency: www.consumerhelp.ie