Bank shelves multiple debt scheme

The Central Bank’s multiple debt framework scheme will not go ahead following the decision by the credit union sector not to participate in the project.

The Central Bank launched the scheme last May in an effort to reach an agreement between secured and unsecured lenders over an individual borrower who had debts with a number of institutions.

The pilot scheme lasted four months and involved the banks, credit unions, and credit card companies as well as other types of unsecured lenders.