Bank gives customers chance to cut debts

AIB are stepping up the pace of mortgage write-offs by offering customers who work with them a chance to cancel some of the debt they owe the bank.

From the new year, about 30% of borrowers who have had their mortgages restructured and who are working with the bank could have a portion of their debts written off.

The head of the bank’s arrears unit, Garry Stran, said while more than 70% of borrowers that have had loans modified are meeting monthly repayments, the rest are a “rump” whose loans need to be restructured and may have part of their loans written off.