Arrears solution for a strategic defaulter: here’s a new plan you can ignore

PTsb capitalised arrearsWe make no secret of dealing with strategic defaulters, depending on the client we don’t necessarily say that they are in that category, but with most of them we try to be forthright enough to make it clear that what they are doing is intentional and doesn’t have to be this way. That aside, the banks are still trying to find ways to resolve the issues.

One such offer came to one client from PTsb. The interesting thing here is that the client did fill in an SFS and was refused split mortgages and other such options because they didn’t qualify but continued to pay zero.

Then they get an offer to capitalise the arrears. That’s wonderful, they are now no longer in arrears once they sign up to this! What a great outcome, now they can go back to repaying zero and start the whole clock all over again.

So, having racked up about 18 months of un-paids on interest only the arrears will now be (upon signing) back to zero, problem of ‘arrears portion’ solved, problem of liquidity and willingness to repay remain the same.

This outcome was very edifying to the person involved, they couldn’t believe their luck, who would have thought that in return for a giant ‘two fingers’ to the bank that they would not only strike a deal, but one that clears your arrears? Wow…

Eventually PTsb will move in, and their earnest attempt at a middle ground is to be commended, they sought some resolution where there was none, but looking past all of that the end game is clear, there is no offer outside of one that gives this person equity and a reason to stay in the game that is going to work.



    Hi Karl.
    How is your fixed mortgage with PTSB going?
    Do you not have to declare that you are a client of the bank when you write such articles as the one above.
    The next time you are talking to them will you ask them why they handed over all of their depositors money to Anglo Irish Bank to prop up their balance sheet?
    Will you ask them do they feel guilty for the fact that they played a major part in destroying our economy and sentencing generations of Irish people into debt slavery?
    Will you ask them to send us all a thank you card for saving their arses?

    Also for some balance
    Will you also state in these articles how much of of a deposit these landlords put into the purchase,
    how much stamp duty they have paid,
    how many payments and partial payments they have made,
    how long the property has been vacant during the ownership period,
    how much property tax the owner has paid,
    how much money the owner has spent into the Irish economy to maintain and upkeep his property etc etc etc.

    Thank you.

  2. Karl Deeter

    If you were the person in question would you want all of that information released? Tell ya what, I’ll do everything you ask if you come into my office and let me go through your finances in some details because while you ask for a lot you don’t provide anything in return, doubt even your email is real. This is sadly becoming more common – rage without substance is pointless.

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