One debtor sent to jail every day since bank bailout deal

AT least one person was sent to jail every day because they were unable to pay credit card bills or meet loan repayments to banks, credit unions or other lenders in the months following the Government’s rescue of financial institutions.

Despite banks promising a more flexible approach to loan defaulters, there was a rise in the rate of imprisonment for debtor offences after the state guarantee was introduced just over a year ago.

Figures show 32 people were handed down sentences in the run-up to Christmas last year because of inability to meet loan repayments despite banks getting a capital injection of €5.5 billion in December.