Out of state, out of mind

Out of state, out of mind
Francesca McDonagh, chief executive, Bank of Ireland Picture: Fergal Phillips

A decade on from the start of the financial crash, bad loans still clog the system. Pressure from the regulators for banks to get rid of them at speed is increasing - but is this not just outsourcing the problem?

Bank of Ireland chief executive Francesca McDonagh was brutally honest last Monday outlining why the bank was reversing course on a longstanding policy of dealing internally with troubled home loans that were deep in arrears. The bank had doggedly stuck to its mantra that it could work through its arrears in its own way. Its figures have backed that up. Its restructuring data shows few customers defaulting once they have signed a restructuring agreement.

Please Subscribe or Log in to continue reading

Subscribe Login

Independent journalism every day

With digital access you can read The Business Post whenever, wherever, and however you want.

  • Unlimited access to all sections of The Business Post on desktop, tablet and mobile.
  • Breaking news, comment and analysis from the best Business Post writers seven days a week.
  • Live blogs of major news events.
  • Videos and podcasts from some of the industry's most respected journalists such as Michael Brennan, Susan Mitchell and Ian Guider.
  • Access to The Business Post's extensive archive‚Äč.

Related Articles

More from The Business Post