# The 12 month moratorium is significantly reduced



## Brendan Burgess (27 Jun 2013)

> 47.
> d)      ...legal  proceedings  may  commence  three  months  from  the  date  the letter is issued or eight months from the date the *a**rrears *arose, whichever date is later,


This is how I read this (The RTE News had a slightly different interpretation)

*Example 1*
1 Jan 2014   Arrears rise 
30 November 2014  MArp finishes 
28 February 2015  they can begin legal action - 14 months later 

*Example 2*
1 Jan 2014  Arrears rise 
30 March 2014  MARP finishes 

30 June 2014  is 3 months later, but must wait until 

30 August 2014  is the earliest date legal action can begin  i.e. a minimum period of 8 months


----------



## Bronte (27 Jun 2013)

Do these changes make any actual real difference whatsover?  The banks are in no hurry to begin legal proceedings, they are in no hurry to repossess etc.


----------



## Brendan Burgess (27 Jun 2013)

It frees up the banks to begin proceedings against those who should be repossessed.

It makes no difference whatsoever to anyone who is attempting to address the situation.


----------



## Bronte (27 Jun 2013)

I think it's only a tactical change, now they can threaten more.  Don't believe they want to repossess, based on what I've seen.


----------



## Brendan Burgess (27 Jun 2013)

Hi Bronte

There are some borrowers who simply won't face reality, and the banks have to repossess th em through the courts. 

There are others who will only take the issue seriously when they get a court summons. The bank is now free to send this earlier.

Brendan


----------



## demoivre (27 Jun 2013)

Bronte said:


> I think it's only a tactical change, now they can threaten more.  Don't believe they want to repossess, based on what I've seen.



Dunne ruling is still there preventing some repossessions and in cases where there is negative equity and a house is repossessed, the shortfall has to be dealt with. For many that shortfall will be dealt with by bankruptcy imo.


----------

