S.I. No. 81/2025 - Central Bank (Supervision and Enforcement) Act 2013 (Section 48) (Consumer Protection) Regulations 2025

• (f) a statement that, at the request of a personal consumer or a personal consumer’s legal representative, the regulated entity will provide an indicative comparison of the personal consumer’s existing mortgage interest rate with alternative interest rates that may be offered by the regulated entity.

Personal consumers to be provided with indicative comparison on total mortgage interest payable

170.

• (a) the total interest payable over the remaining term of a mortgage loan provided by that regulated entity to the personal consumer, to

• (b) the total interest payable over the term of a new mortgage loan, or under an alternative interest rate, offered by that regulated entity.

• (2) Where a regulated entity provides information pursuant to paragraph (1), it shall provide, together with that information, a hyperlink to, or website address of, the relevant webpage on the Competition and Consumer Protection Commission’s website relating to switching regulated entities providing mortgage loans to personal consumers or changing mortgage type.

• (3) The information referred to in paragraphs (1) and (2) shall be provided on paper or on another durable medium.

Interest rates for mortgages to be published on websites

171.

Summary statement on variable mortgage interest rates

172.

• (2) A regulated entity shall update the summary statement referred to in paragraph (1) when it changes the policy.

• (3) Paragraphs (1) and (2) do not apply in respect of a variable mortgage interest rate that is a tracker interest rate.

• (4) The summary statement referred to in paragraphs (1) to (3) shall –

• (a) identify the factors which may result in changes to the variable interest rate,

• (b) outline the criteria and procedures applicable to the setting of the variable interest rate,

• (c) specify the circumstances in which the regulated entity applies different approaches to setting the variable interest rate in respect of different cohorts of borrowers and the reasons for the different approach, and

• (d) be in such form and contain such content as set out in Schedule 1 to these Regulations.

• (5) Where a regulated entity operates a website, it shall ensure that the summary statement that it has produced in accordance with paragraphs (1) to (4) is at all times published and up to date on such website.

• (6) A regulated entity that offers a variable mortgage interest rate to a personal consumer shall provide, with the offer document, a copy of the currently applicable summary statement that it has produced in accordance with paragraphs (1) to (4).

• (7) Paragraph (6) does not apply in respect of a variable mortgage interest rate that is a tracker interest rate.

• (8) Where a regulated entity changes a summary statement that it has produced in accordance with paragraphs (1) to (4), it shall notify, as soon as possible, personal consumers to whose mortgage that updated summary statement applies.

• (9) The notification referred to in paragraph (8) shall be made on paper or on another durable medium and shall set out particulars of the changes made to the summary statement, together with relevant details of the position prior to such changes, in order that the consumer can compare the position before and after those changes.

• (10) A regulated entity shall make the updated summary statement that it has produced in accordance with paragraphs (1) to (4) available to those personal consumers to whose mortgage the updated summary statement applies.

Required information to be included with offer document on mortgage

173.

• (a) the amount of the mortgage;

• (b) the interest rate that applies to the mortgage at the date of offer;

• (c) the term of the mortgage;

• (d) where there is a possibility that the interest rate specified in the offer document may not be the interest rate applicable by the time that the mortgage is drawn down, a statement highlighting this possibility;

• (e) an outline of the circumstances that would result in the change in interest rate referred to in paragraph (d);

• (f) notification of any known upcoming change to the interest rate following drawdown;

• (g) the length of time for which the mortgage offer is valid, assuming that all details provided by the personal consumer are correct and do not change.

Personal consumers to be provided with redemption figure on existing mortgage

174.

• (2) The redemption figure referred to in paragraph (1) shall be provided by the regulated entity within 5 working days.

Personal consumer’s legal representative to be provided with title deeds within specified timeframe

175.

• (a) receipt of a valid request in writing which satisfies the reasonable requirements of the regulated entity for provision of title deeds made by the legal representative concerned, and

• (b) the delivery by the legal representative of any required undertaking or assurance.

• (2) Where a regulated entity is required to provide title deeds in accordance with paragraph (1), but has reasonable grounds for failure to provide those title deeds within 10 working days, the time limit referred to in paragraph (1) is extended in accordance with paragraph (3).

• (3) A regulated entity to which paragraph (2) applies shall –

• (a) make reasonable efforts to provide the title deeds to the legal representative concerned as soon as possible after the time limit referred to in paragraph (1) has expired, and

• (b) provide the personal consumer or legal representative concerned, prior to expiry of the time limit referred to in paragraph (1), with –

• (i) an explanation of why the request cannot be complied with, and

• (ii) an assessment of when the title deeds will be provided.

Warning statement for interest–only mortgages

176.

“Warning: If the value of the capital lump sum or asset sale proceeds anticipated by your proposed repayment plan falls short of what you expect, you may be unable to meet the capital repayment that falls due when you reach the end of your interest–only term. You will be liable for any shortfall.”

Information to be provided on incentives and other offers where offered prior to mortgage approval

177.

• (a) the consequences for the terms and conditions of the mortgage offer, including an indicative cost comparison of the total cost of the mortgage loan, if the incentive is availed of and if it is not;

• (b) the period of time for which the incentive will be offered;

• (c) any assumptions used, and any such assumptions shall be reasonable and justifiable;

• (d) any other key information which may be relevant for the personal consumer in deciding whether to avail of the incentive.

• (2) The regulated entity shall include with the information provided pursuant to paragraph (1), a statement that the personal consumer may wish to seek independent advice prior to availing of the incentive.

• (3) This Regulation does not apply to alternative repayment arrangements within the scope of Chapter 9 of Part 3.

Supporting documentation to be obtained prior to providing mortgage

178.

• (a) obtain all original supporting documentation, including any electronic originals, evidencing the personal consumer’s identity and ability to repay the mortgage, or

• (b) obtain from a mortgage intermediary an authenticated declaration that the mortgage intermediary has obtained all such original supporting documentation, including any electronic originals, evidencing the personal consumer’s identity and ability to repay the mortgage.

• (2) Obtaining a declaration authenticated by a personal consumer, or a representative of the personal consumer, certifying the personal consumer’s income or ability to repay or both, shall not by itself suffice for the purposes of satisfying the obligation on a regulated entity that is a mortgage lender pursuant to paragraph (1)(a).

• (3) Obtaining an authenticated declaration from a mortgage intermediary which is authenticated solely on the basis of the mortgage intermediary having obtained a declaration referred to in paragraph (2), shall not suffice as an authenticated declaration for the purposes of satisfying the obligation on a regulated entity that is a mortgage lender pursuant to paragraph (1)(b).

• (4) A mortgage intermediary shall not provide to a regulated entity that is a mortgage lender a declaration authenticated by the mortgage intermediary, for the purposes of evidencing a personal consumer’s identity and ability to repay the mortgage, which is authenticated by the mortgage intermediary solely on the basis of the mortgage intermediary having obtained a declaration referred to in paragraph (2).

Process to be followed for dealing with mortgage loan applications by personal consumers

179.

• (a) acknowledge receipt of a complete mortgage loan application within 3 working days of receipt of all documents or items of information necessary for a complete application,

• (b) where a mortgage loan application is not complete, acknowledge receipt of the mortgage loan application within 3 working days of receipt and, together with that acknowledgement, provide notification of any documents or items of information required to be submitted to the regulated entity by a personal consumer to complete the application,

• (c) inform a personal consumer of the regulated entity’s decision on the personal consumer’s mortgage loan application within 10 working days of receipt of all documents or items of information necessary to assess the application,

• (d) if the regulated entity cannot make a decision on whether it will grant or refuse the application within 10 working days of receipt of all documents or items of information necessary to assess the application, inform a personal consumer of the reasons why the regulated entity’s assessment of the application will take longer than 10 working days and the expected timeframe within which a decision will be made, and

• (e) provide clear points of contact for any enquiries from a personal consumer who is considering switching their mortgage, and for any other enquiries relating to mortgage lending.

Assessing reasonableness (etc.) of information in support of mortgage application

180.

• (a) assess the reasonableness of the information contained in the documentation referred to in Regulation 178(1), including its accuracy, authenticity and veracity, submitted by a personal consumer to the regulated entity in support of a mortgage loan application, and

• (b) take all reasonable steps to verify that the documentation referred to in paragraph (a) is authentic.

Mortgage lenders to obtain valuation report

181.

• (2) It shall suffice for the purposes of paragraph (1), if the regulated entity has obtained such an independent valuation report in compliance with any other applicable law.

Affordability assessment – additional test for mortgage products provided to personal consumers

182.

• (2) The test shall consist of a robust test of the personal consumer’s ability to repay the payment instalments due, over the duration of the mortgage agreement, on the basis of a minimum 2% interest rate increase above the interest rate offered to the personal consumer.

• (3) The test referred to in paragraph (2) does not apply to a mortgage where the interest rate applicable to the mortgage is fixed for a period of 5 years or more.

• (4) Where the lender offers an introductory interest rate, it shall apply the test referred to in paragraph (2) on either –

• (a) the variable interest rate to be applied after the introductory period has ended, if this is known at the time of the offer of the introductory interest rate, or

• (b) on the current variable interest rate, if the variable interest rate to be applied after the introductory period has ended could not reasonably be determined at the time of carrying out the test.

• (5) Where a credit product is an interest–only mortgage provided on an interest–only basis for the duration of the mortgage term, the test referred to in paragraph (2) shall further include an additional assessment in order to ascertain the personal consumer’s likely ability to repay the principal at the end of the mortgage term.

• (6) Where a credit product is an interest–only mortgage provided on an interest–only basis for a duration less than the mortgage term, the test referred to in paragraph (2) shall further include an additional assessment in order to ascertain the personal consumer’s likely ability to repay the capital and interest at the end of the interest–only period.

• (7) The additional assessment referred to in paragraph (6) shall consist of an assessment based on a minimum 2% interest rate increase –

• (a) above the interest rate applicable at the end of the interest–only period, if this is known at the time of the offer of the interest–only mortgage, or

• (b) above the current variable interest rate if the variable interest rate to be applied after the end of the interest–only period could not reasonably be determined at the time of carrying out the assessment.

Mortgage intermediaries to provide information for affordability assessment

183.

Revised figures to be provided to personal consumer regarding variable interest rate mortgage

184.

• (2) A regulated entity shall provide the figures referred to in paragraph (1) on paper or on another durable medium.

• (3) If the lender offers an introductory interest rate, the revised periodic repayment amount provided in accordance with paragraph (1) shall reflect an increase of 2% on –

• (a) the variable interest rate to be applied after the introductory period has expired, or

• (b) the current variable interest rate, if the variable interest rate to be applied after the introductory period has expired could not reasonably be determined at the time.

Mortgage drawdown – information to be provided to personal consumers

185.

• (a) notify a personal consumer of the documentation required to complete the mortgage drawdown process, and

• (b) provide points of contact for any enquiries from a personal consumer regarding matters relating to mortgage lending, including in relation to the mortgage drawdown process.

Statements of account on mortgages to provide for additional matters in certain circumstances

186.

• (a) a summary of any other mortgages provided by the regulated entity that could provide savings for the personal consumer at that point in time together with an estimate specified with respect to each such other mortgage of –

• (i) the euro amount by which the personal consumer’s individual regular monthly mortgage repayments would decrease based on the other mortgage, and

• (ii) the euro amount by which the personal consumer’s total yearly mortgage repayments would decrease based on the other mortgage, being the euro amount specified in point (i) multiplied by 12;

• (b) details of how the personal consumer can obtain further information on the mortgages referred to in subparagraph (a);

• (c) a statement that the personal consumer should keep their mortgage arrangements under review as there may be other options that could provide savings for the personal consumer;

• (d) a hyperlink to, or website address of, the relevant section on the Competition and Consumer Protection Commission’s website relating to switching regulated entities that are lenders or changing mortgage type;

• (e) a reminder that the regulated entity’s summary statement produced in accordance with Regulation 172(1) to Regulation 172(4) is available on its website;

• (f) if the interest rate applied is based on a ratio of Loan–to–Value (referred to in this Regulation as a “Loan–to–Value interest rate band”), a notification as to whether the mortgage provides for movement by the personal consumer between Loan–to–Value interest rate bands subject to the provision of an up–to–date valuation and any other requirements that may apply to movement between Loan–to–Value interest rate bands by the personal consumer;

• (g) if the personal consumer is permitted to move between Loan–to–Value interest rate bands, an invitation to the personal consumer to contact the regulated entity to discuss further;

• (h) if the personal consumer is not permitted to move between Loan–to–Value interest rate bands, a notification that the personal consumer may be able to avail of lower Loan–to–Value interest rate bands from another regulated entity based on an up–to–date valuation;

• (i) detail on the benefits of early contact with the regulated entity if the personal consumer is in arrears or is at risk of going into arrears.

• (2) For the purposes of paragraph (1)(a), the regulated entity shall write the estimate in a font colour other than the predominant font colour used in the statement of account.

• (3) Where a regulated entity is required to provide the information referred to in paragraph (1)(a), the regulated entity shall provide the personal consumer with a reminder to consider that information, on paper or on another durable medium, after 4 weeks, but before 8 weeks, have elapsed since the regulated entity provided that information.

• (4) Where a regulated entity is required to provide a consumer with a statement including the additional matters referred to in paragraph (1), Regulation 146(2) applies to a statement including those additional matters.

Notification of interest rate changes to provide for additional matters in certain circumstances

187.

• (a) the reason, by reference to the summary statement produced in accordance with Regulation 172(1) to (4), for the change in the interest rate;

• (b) a summary of other mortgages provided by the regulated entity that could provide savings for the personal consumer at that point in time;

• (c) details of where the personal consumer can obtain further information on the mortgages referred to in subparagraph (b);

• (d) a statement that the personal consumer should keep their mortgage arrangements under review as there may be other options that could provide savings for the personal consumer;

• (e) a hyperlink to, or website address of, the relevant section on the Competition and Consumer Protection Commission’s website relating to switching lenders or changing mortgage type.

• (2) In the case of a mortgage interest rate that is a fixed interest rate, a notification required pursuant to Regulation 147 shall also include, in addition to the other matters prescribed by Regulation 147(1) to (3), 60 calendar days prior to the expiry of the fixed interest rate period, the default rate of interest applicable on the expiry of the fixed rate period.

• (3) Where the default rate of interest is not a tracker interest rate, a notification required pursuant to Regulation 147 and paragraph (2) of this Regulation shall further include the following:

• (a) a summary of other mortgage interest rates provided by the regulated entity that could provide savings for the personal consumer compared to the default rate of interest at the time of notification, together with an estimate specified with respect to each such other mortgage interest rate of –

• (i) the euro amount by which the personal consumer’s individual regular monthly mortgage repayments would decrease based on the other mortgage interest rate, and

• (ii) the euro amount by which the personal consumer’s total yearly mortgage repayments would decrease based on the other mortgage interest rate, being the euro amount specified in point (i) multiplied by 12;

• (b) details of how the personal consumer can obtain further information on the default rate of interest and other mortgage interest rates provided by the regulated entity referred to in subparagraph (a);

• (c) a statement that the personal consumer should keep their mortgage arrangements under review as there may be other options that could provide savings for the personal consumer;

• (d) a hyperlink to or website address of the relevant section on the Competition and Consumer Protection Commission’s website relating to switching lenders or changing mortgage type;

• (e) a reminder that the regulated entity’s summary statement produced in accordance with Regulation 172(1) to Regulation 172(4) is available on its website.

• (4) For the purposes of paragraph (3)(a), the regulated entity shall write the estimate in a font colour other than the predominant font colour used in the statement of account.

• (5) Where a regulated entity is required to provide the information referred to in paragraph (3)(a), the regulated entity shall provide the personal consumer with a reminder to consider that information, on paper or on another durable medium, after 4 weeks, but before 8 weeks, have elapsed since the regulated entity provided that information.

• (6) In the case of an increase in a tracker interest rate, a regulated entity shall provide the notification required pursuant to Regulation 147 as soon as possible, and no later than 10 working days after the regulated entity becomes aware of the change in the interest rate being tracked.

Switching from tracker interest rate – personal consumer to be informed

188.

• (a) an indicative comparison of the cost of the personal consumer’s monthly mortgage repayment at their tracker interest rate and each alternative mortgage interest rate available to the personal consumer;

• (b) an indicative comparison of the total cost of the mortgage if the personal consumer continues with the tracker interest rate and each alternative mortgage interest rate available to the personal consumer;

• (c) information that details and contrasts for the personal consumer how the tracker interest rate is calculated as compared to each alternative mortgage interest rate available to the personal consumer.

• (2) For the purposes of paragraph (1) –

• (a) any information provided by the regulated entity pursuant to paragraph (1) shall be up to date,

• (b) the regulated entity shall provide an indicative time period over which any alternative mortgage interest rate is likely be available to the personal consumer, and

• (c) any assumptions used by the regulated entity in respect of the requirements referred to in paragraph (1) shall be reasonable, justifiable and clearly stated.

• (3) The following warning statement shall be included by the regulated entity with the information referred to in paragraph (1) if a personal consumer will not be contractually entitled to revert to a tracker interest rate following a decision to switch to an alternative mortgage interest rate available to the personal consumer:

“Warning: If you switch to an alternative mortgage interest rate, you will not be contractually entitled to revert to a tracker interest rate at any time in the future.”

• (4) This Regulation does not apply to a regulated entity in respect of a mortgage borrower within the scope of Chapter 9 of Part 3 that is in arrears or pre–arrears within the meaning of that Chapter.

Switching from tracker interest rate to fixed interest rate – personal consumer to be notified of tracker margin on expiry of fixed term

189.

• (a) has an option under the terms of his or her mortgage to switch from a tracker interest rate to a fixed interest rate and notifies the regulated entity that is the lender of his or her intention to switch, and

• (b) has an entitlement under the terms of his or her mortgage to a tracker interest rate when the fixed interest rate period expires,

the regulated entity shall notify the personal consumer prior to implementing the switch, on paper or on another durable medium, of the tracker margin that will be included within the tracker interest rate available to the personal consumer at the time of expiry of the fixed interest rate period, if the personal consumer chooses to revert to a tracker interest rate.

• (2) For the purposes of this Regulation, “tracker margin” means the percentage above which a tracker interest rate must not exceed the reference rate which it tracks as referred to in the terms of the loan.

• (3) This Regulation does not apply to a regulated entity in respect of a mortgage borrower within the scope of Chapter 9 of Part 3 that is in arrears or pre–arrears within the meaning of that Chapter.

Switching from tracker interest rate – personal consumer to be notified prior to implementing switch

190.

• (2) Where paragraph (1) applies, a regulated entity shall not implement the switch to an alternative interest rate until it receives written confirmation from the personal consumer that the personal consumer has received the required written notice from the regulated entity.

• (3) For the purposes of this Regulation, “tracker margin” has the meaning given to it in Regulation 189(2).

• (4) This Regulation does not apply to a regulated entity in respect of a mortgage borrower within the scope of Chapter 9 of Part 3 that is in arrears or pre–arrears within the meaning of that Chapter.

Switching from tracker interest rate – personal consumer to be allowed time to consider information

191.

• (2) A regulated entity shall advise the personal consumer of this entitlement on paper or on another durable medium, together with the information provided in accordance with Regulations 188 to 190 and no change shall be effected to the personal consumer’s rate until the expiry of the time period referred to in paragraph (1).

• (3) A personal consumer may waive the 30 calendar day period provided for in this Regulation and the chosen alternative relevant rate may be applied by the regulated entity prior to the expiry of this time period, where a regulated entity receives written confirmation from the personal consumer prior to the alternative rate being applied confirming that –

• (a) the personal consumer has been provided with the information required under Regulations 188 to 190, and

• (b) the personal consumer understands that he or she is waiving the 30 day period available in accordance with paragraph (1) to consider this information.

Switching to a fixed interest rate – personal consumers to be notified of loss of discount (etc.)

192.

• (2) Where this Regulation applies and a personal consumer would lose a discount in respect of charges or any other advantageous term of the mortgage that applied prior to the switch, the regulated entity providing the mortgage shall notify the personal consumer of that fact prior to applying the switch in interest rate to the mortgage concerned.

• (3) The requirement to notify pursuant to paragraph (2) does not apply in respect of the unavailability of a tracker interest rate for which a requirement to provide written notice pursuant to Regulation 190 applies and has been discharged.

Personal consumer to be provided with information when offering incentive on existing mortgage

193.

• (a) the consequences for the terms and conditions of the mortgage including an indicative cost comparison of the total cost of the existing mortgage if the incentive is availed of and if it is not;

• (b) the period of time for which the incentive will be offered;

• (c) any assumptions used, and any such assumptions shall be reasonable and justifiable;

• (d) any other key information which may be relevant for the personal consumer in deciding whether to avail of the incentive.

• (2) A regulated entity shall include with the information provided pursuant to paragraph (1) a statement that the personal consumer may wish to seek independent advice prior to availing of the incentive.

• (3) This Regulation does not apply to alternative repayment arrangements within the scope of Chapter 9 of Part 3.

Warning statement for certain advertisements

194.

• (2) A regulated entity shall ensure that in an advertisement in which it advertises a residential mortgage involving scheduled repayments, it provides the following warning statement:

“Warning: If you do not keep up your repayments you may lose your home.”

• (3) A regulated entity shall ensure that in an advertisement in which it advertises a residential mortgage, including in respect of which it offers an incentive, it provides the following warning statement:

“Warning: You should consider the total cost of the mortgage and any applicable incentive included in a mortgage offer.”

• (4) A regulated entity shall ensure that, in an advertisement in which it advertises a variable interest rate mortgage, involving scheduled repayments of interest, where the regulated entity has discretion to vary the interest rate, it provides the following warning statement:

“Warning: Your interest rate may increase and the amount of your mortgage repayments may increase as a result.”

• (5) A regulated entity shall ensure that, in an advertisement in which it advertises an interest–only mortgage, it provides the following warning statement:

“Warning: The entire amount that you have borrowed will still be outstanding at the end of the interest–only period.”

• (6) A regulated entity shall ensure that, in an advertisement in which it advertises a lifetime mortgage, it provides a recommendation to seek independent legal or financial advice, together with the following warning statements inserting the appropriate information in place of the instruction in square brackets for that purpose:

• (a) in respect of a lifetime mortgage where no interest is payable during the term of the mortgage, but interest is charged each month or year and added to the amount owed, with the amount owed plus the added interest then being payable in full in circumstances such as death, or permanent vacation or sale of the mortgaged property:

“Warning: While no interest is payable during the term of the mortgage, interest is charged each [insert ‘month’ or ‘year’ as appropriate] and added to the amount owed. The amount owed plus the added interest is then payable in full in circumstances such as death, or permanent vacation or sale of the mortgaged property.”;

• (b) in respect of a lifetime mortgage where interest is charged on an increasing sum (made up of the outstanding mortgage and added interest amounts), but no scheduled repayments are required to be made, the interest then being added to the outstanding debt on a continual basis:

“Warning: Unlike certain other mortgages where interest is charged on a sum that decreases with time, interest on lifetime mortgages is charged on an increasing sum (made up of the outstanding mortgage and added interest amounts), and therefore the total amount owed can increase quickly. As you are not required make any scheduled repayments, the interest on your mortgage is added to your outstanding debt on a continual basis and you are effectively charged interest on that interest. This is called ‘compound interest’.”;

• (c) in respect of a lifetime mortgage with a variable interest rate that does not involve scheduled repayments of interest, where the regulated entity has discretion to vary the interest rate:

“Warning: the rate of interest applied to your loan balance may increase and the amount you owe will increase as a result.”;

• (d) in respect of a lifetime mortgage where the debt, if unpaid, could come close to, or equal or exceed the value of the mortgaged residential property:

“Warning: The longer a lifetime mortgage remains unpaid, the more money you will owe and the amount you owe could eventually come close to, equal, or exceed the value of the mortgaged residential property.”;

• (e) in respect of a lifetime mortgage where the debt, if unpaid, could come close to or equal, but not exceed, the value of the mortgaged residential property:

“Warning: The longer a lifetime mortgage remains unpaid, the more money you will owe and the amount you owe could eventually come close to or equal, the value of the mortgaged residential property.”;

• (f) in respect of all lifetime mortgages:

“Warning: Purchasing this product may negatively impact on your ability to fund future needs. Before purchasing this product, you should get independent legal or financial advice.”;

• (g) in respect of a lifetime mortgage where charges apply to early repayment:

“Warning: You will have to pay charges if you pay off a lifetime mortgage early.”.

Chapter 7 Deposit agents

Deposit agents not to retain consumer account passbook

195.

Deposit agents not to operate from same premises as deposit broker

196.

Chapter 8 High Cost credit providers

Interpretation (Chapter 8)

197.

“existing consumer” means a consumer who has outstanding credit with the high cost credit provider;

“relevant Regulations” means the provisions of these Regulations which apply in accordance with Regulation 6 where a high cost credit provider is engaged in the activity of providing high cost credit.

• (2) In this Chapter, “APR”, “consumer”, “credit”, “financial accommodation”, “high cost credit provider”, “high cost credit”, “high cost credit agreement” and “running account” have the meaning given to them in section 2(1) of the Act of 1995.

Scope and application (Chapter 8)

198.

• (2) With the exception of Regulations 7(3), 8(1)(p), 8(11), 11(3), 13(7), 13(9) and 20(1) of the European Communities (Consumer Credit Agreements) Regulations 2010, Regulations 7, 8, 11, 13 and 20 of the European Communities (Consumer Credit Agreements) Regulations 2010 shall apply in respect of a high cost credit agreement within the scope of the relevant Regulations and involving a total amount of credit of less than €200.

• (3) In this Regulation, “total amount of credit” in relation to a high cost credit agreement means the limit of the credit, or the total sum, made available under the high cost credit agreement.

Expertise for engaging in high cost credit

199.

Unsolicited credit facilities

200.

• (2) A high cost credit provider may only increase the limit on a consumer’s running account following an application from the consumer for an increase to the limit on the consumer’s running account.

• (3) A high cost credit provider shall not make an unsolicited offer of credit to an existing consumer of that high cost credit provider in circumstances where –

• (a) the consumer made full repayment within the preceding month of a high cost credit agreement with that high cost credit provider, or

• (b) the consumer is party to a high cost credit agreement with the high cost credit provider and the final repayment date of such high cost credit agreement is within the next month.

• (4) In this Regulation, “unsolicited offer of credit” means a direct offer to an identified consumer to apply for credit where that offer is made –

• (a) otherwise than at the request of the consumer, or

• (b) without the prior written consent of the consumer,

but excludes general advertisements for credit to the public.

Unsolicited contact

201.

• (a) the consumer has signed a statement, within the previous 12 months, giving the high cost credit provider permission to make unsolicited contact, or

• (b) the consumer is the subject of a referral received by the high cost credit provider from one of the following:

• (i) a person authorised by the Bank to provide financial services in the State;

• (ii) a person within the same group as the high cost credit provider;

• (iii) a solicitor;

• (iv) a certified person.

• (2) When a high cost credit provider contacts a consumer following a referral referred to in paragraph (1)(b), the high cost credit provider shall inform the consumer that such a referral has been made and ask the consumer for consent to proceed with an unsolicited contact.

• (3) A high cost credit provider shall ensure that, when it makes an unsolicited contact on foot of a referral, referred to in paragraph (1)(b), it retains a record of the referral.

• (4) An unsolicited contact by a high cost credit provider to a consumer, other than an existing consumer, may only be made between 9.00 a.m. and 9.00 p.m., from Monday to Saturday, excluding public holidays, unless otherwise requested by the consumer.

• (5) When making an unsolicited contact in accordance with the relevant Regulations, a high cost credit provider shall immediately carry out the following actions in the following order:

• (a) identify himself or herself by name and identify the name of the high cost credit provider on whose behalf the person is contacting the consumer and the commercial purpose of the contact;

• (b) inform the consumer that the telephone contact is being recorded, if that is the case;

• (c) where relevant, disclose to the consumer, the source of the business lead or referral supporting the personal visit or telephone contact;

• (d) confirm that the consumer wishes the personal visit or telephone contact to proceed and if not, end the telephone contact or personal visit immediately.

• (6) A high cost credit provider shall adhere to a request from a consumer not to make an unsolicited contact to him or her and this request shall be recorded by the high cost credit provider.

• (7) A high cost credit provider shall not reach a binding agreement with a consumer on the basis of unsolicited contact alone.

• (8) When contacting an existing consumer for the purposes of sales and marketing, a high cost credit provider may make an unsolicited contact, only if –

• (a) the consumer has given prior written consent, that the consumer agrees to be the recipient of such contact, and

• (b) the consumer’s consent remains valid.

• (9) For the purposes of this Regulation the following definitions apply:

“group” includes a company, any subsidiary and any related undertaking;

“related undertaking” means a related company within the meaning of Part 1 of the Act of 2014;

“subsidiary” means a subsidiary within the meaning of Part 1 of the Act of 2014;

“unsolicited contact” means contact with a consumer without prior written consent by way of personal visit or telephone call, but not including written contact with the consumer or returning a telephone call from a consumer.

Communications

202.

• (2) A high cost credit provider shall ensure that, where it intends to keep a record of a telephone conversation with a consumer, the high cost credit provider informs the consumer, at the outset of the conversation, that the telephone conversation is being recorded.

Prohibition on incentivising credit purchases

203.

Lending policy and procedures

204.

• (2) The approval of a high cost credit provider’s lending policies and procedures by the board of directors of the high cost credit provider, or the entity or persons controlling the high cost credit provider, shall constitute an affirmation on the part of the board of directors of the high cost credit provider, or the entity or persons controlling the high cost credit provider, that the high cost credit provider’s policies and procedures comply with the relevant Regulations and any other legal and regulatory requirements with which the high cost credit provider must comply.

• (3) A high cost credit provider shall carry out an annual review to ensure that it is acting in compliance with the lending policies and procedures referred to in paragraph (1) and the high cost credit provider shall report the results of the annual review to the board of directors of the high cost credit provider or the entity or persons controlling the high cost credit provider.

• (4) A high cost credit provider’s lending policies and procedures referred to in paragraph (1) shall have the core objectives of ensuring –

• (a) consistency of approach by the high cost credit provider in its dealings with consumers, and

• (b) that all regulatory requirements as regards suitability of the high cost credit provider’s activities for its consumers and the creditworthiness of the high cost credit provider’s consumers, including the requirements to act in the best interests of consumers, are complied with by the high cost credit provider.

• (5) A high cost credit provider’s lending policies and procedures referred to in paragraph (1) shall, at a minimum, include the following information:

• (a) the lending policies and procedures that the high cost credit provider will apply when dealing with applications for credit from consumers, including consumers in vulnerable circumstances;

• (b) the information to be sought from consumers applying for credit;

• (c) the criteria which the high cost credit provider will apply when considering an application for credit;

• (d) the following statement:

“The core objectives of this policy is to ensure that we approach all applications for new and additional credit consistently and to ensure that we meet all of our regulatory requirements as regards suitability of the product and the creditworthiness of consumers and to act in the best interests of consumers.”;

• (e) the supports available to employees and agents of the high cost credit provider involved in the consideration of applications for credit;

• (f) the safeguards which the high cost credit provider has in place to ensure that section 99 of the Act of 1995 is complied with;

• (g) the manner in which the high cost credit provider will maintain a record of the steps taken to assess an application for credit;

• (h) the manner in which the high cost credit provider will maintain a record of all lending decisions;

• (i) the safeguards which the high cost credit provider has in place to ensure that consumers are not offered or approved unsolicited credit facilities, other than in accordance with the relevant Regulations, by the high cost credit provider or by an employee or agent of the high cost credit provider, in advance of an application for credit by a consumer.

Home collections

205.

• (a) any removal of a repayment book from a consumer is properly recorded and that a receipt in a durable medium is issued to the consumer, and

• (b) a consumer’s personal details contained in repayment books are regularly confirmed and updated.

• (2) If a high cost credit provider provides a collection service, in respect of repayments due under a high cost credit agreement, the high cost credit provider shall, before making any collection of repayments, agree with the consumer the location for such collection, which shall be appropriate and secure.

Pre–contract information

206.

“Warning: This is high–cost credit. Consider alternative options before applying for this credit, including alternatives from other lenders regulated by the Central Bank of Ireland.”

Provision of information to consumers

207.

• (a) include the following statement, in bold type, at, or near, the beginning of any application form or process relating to a high cost credit agreement, regardless of whether the means of application or process is paper based or otherwise:

“If you require this credit to pay for accommodation, food, electricity, heating, medication or other similar costs, please read the below information carefully”,

• (b) immediately following the statement referred to in paragraph (a), provide the consumer with the information set out in Schedule 2 to these Regulations in the form prescribed in that Schedule,

• (c) ensure that the statement set out in paragraph (a) is –

• (i) presented in a prominent manner,

• (ii) in a box,

• (iii) in bold type, and

• (iv) of a font size that is at least equal to the predominant font size used throughout the document, and

• (d) ensure that the information set out in Schedule 2 to these Regulations is presented in a font size that is at least equal to the predominant font size used throughout the document.

Information to be provided on guarantee documentation

208.

• (a) clearly specifies the obligations of the guarantor in respect of the credit, and

• (b) contains the following warning statement:

“Warning: As a guarantor of this credit, you will have to pay off any outstanding debt amount, the interest and all associated charges up to the level of your guarantee if the borrower does not. Before you sign this guarantee you should get independent legal or financial advice.”.

Additional disclosure requirements

209.

• (2) Regulation 71(1)(a) to (c) does not include a high cost credit provider’s text messages.

Information notice on website and application form

210.

• (a) where it operates a website, on the section of the high cost credit provider’s website that relates to high cost credit or other activities for which the high cost credit provider is regulated by the Bank, and

• (b) at, or near, the beginning of any application form or process relating to a high cost credit agreement, regardless of whether the means of application or process is paper based or otherwise.

• (2) For the purpose of paragraph (1) it shall not be sufficient for the high cost credit provider to provide the information through a link to that information.

Information notice at premises

211.

• (a) as set out in Schedule 3 to these Regulations,

• (b) in poster form,

• (c) at least A4 in size,

• (d) in typeface that is at least 18 points in size, and

• (e) in bold font.

• (2) The information provided by a high cost credit provider in accordance with paragraph (1) shall be displayed –

• (a) in an area inside the premises from which the high cost credit provider engages in high cost credit activities, and

• (b) where it is clearly visible from the location at which consumers would ordinarily deal with the high cost credit provider or an employee or agent of the high cost credit provider.

• (3) For the purpose of paragraph (2), where the premises from which the high cost credit provider engages in high cost credit activities –

• (a) are not enclosed, or

• (b) are of a kind where a consumer can approach the high cost credit provider, or an employee or agent of the high cost credit provider, without going through a door,

the information shall be displayed so that it is clearly visible on a counter, desk, table or other item of furniture at which the high cost credit provider, or an employee or agent of the high cost credit provider would deal with the consumer.

Knowing the consumer

212.

Post–contract information

213.

• (a) at least monthly to consumers who pay weekly, and

• (b) at least quarterly to consumers who pay monthly.

Provision of information to guarantors

214.

• (a) the terms of the high cost credit agreement change, or

• (b) the amount guaranteed by the guarantor is to be increased.

Subsequent high cost credit agreements

215.

• (a) the total number of high cost credit agreements in force between the high cost credit provider and the consumer;

• (b) the total balance of credit outstanding between the consumer and the high cost credit provider;

• (c) the date for final repayment by the consumer on the high cost credit agreement with the longest remaining term;

• (d) the aggregated repayment amount due from the consumer on the first repayment date subsequent to the new high cost credit agreement.

• (2) A high cost credit provider shall make it clear that the information provided in accordance with paragraph (1) relates solely to high cost credit agreements, including the second or subsequent high cost credit agreement in question, between that high cost credit provider and the consumer and that it does not relate to any agreements for the provision of credit from other high cost credit providers or other providers of credit.

• (3) Pursuant to a request by a consumer, a high cost credit provider shall provide the information outlined in paragraph (1) free of charge to the following:

• (a) the consumer;

• (b) with the consumer’s consent, a third party acting on the consumer’s behalf.

• (4) Paragraph (3) does not apply to a request made by a consumer less than 4 weeks after a previous request by that consumer which was complied with by the high cost credit provider.

Advertising

216.

“Warning: This is high–cost credit. Consider alternative options before applying for this credit, including alternatives from other lenders regulated by the Central Bank of Ireland.”

• (2) A high cost credit provider shall ensure that its marketing strategy –

• (a) is fair and reasonable taking into account the particular circumstances of consumers, and

• (b) is approved by the board of directors of the high cost credit provider or the entity or persons controlling the high cost credit provider.

• (3) The approval of a high cost credit provider’s marketing strategy by the board of directors of the high cost credit provider, or the entity or persons controlling the high cost credit provider, shall constitute an affirmation on the part of the board of directors of the high cost credit provider, or the entity or persons controlling the high cost credit provider, that the high cost credit provider’s marketing strategy complies with the relevant Regulations and any other legal and regulatory requirements with which the high cost credit provider must comply.

• (4) A high cost credit provider shall carry out an annual review to ensure that it is acting in compliance with its marketing strategy referred to in paragraph (2) and the high cost credit provider shall report the results of the annual review to the board of directors of the high cost credit provider or the entity or persons controlling the high cost credit provider.

Consumer records

217.

• (2) For the purposes of this Regulation, “income” means the income of a consumer before the deduction of tax or other deductions.

Provision of records to third parties

218.

• (2) If any consumer record requested pursuant to paragraph (1) is not available, or has not been retained, the high cost credit provider shall advise the third party that such record is not available, as part of its written response.

Chapter 9 Arrears – Mortgage debt secured by a mortgage borrower’s primary residence

Interpretation (Chapter 9)

219.

“Act of 2012” means the Personal Insolvency Act 2012 (No. 44 of 2012);

“appeals board” means the appeals board which a regulated entity is required to establish pursuant to Regulation 258;

“arrears” means arrears arising on a mortgage loan account where a mortgage borrower has not made a full repayment of all outstanding amounts due, or only makes a partial repayment of any such amount, as set out in the original mortgage loan contract, by the scheduled due date, and “in arrears” means a situation in which arrears have arisen;

“arrears support unit” means the arrears support unit which a regulated entity is required to establish and maintain pursuant to Regulation 239;

“credit servicing” has the meaning given to it under Part V of the Act of 1997;

“credit servicing activities” has the meaning given to it under Article 3 of Directive (EU) 2021/2167 of the European Parliament and of the Council of 24 November 2021¹¹ ;

“Insolvency Service of Ireland” means the Insolvency Service of Ireland established by the Act of 2012;

“MARP” means the mortgage arrears resolution process which a regulated entity is required to establish and maintain pursuant to Regulation 238;

“mortgage loan” refers only to a mortgage loan of a mortgage borrower which is secured by the mortgage borrower’s primary residence;

“mortgage to rent” means an arrangement whereby the mortgage borrower voluntarily allows the regulated entity to take possession of the primary residence, and the mortgage borrower becomes a tenant in that primary residence, including an arrangement whereby the regulated entity sells the primary residence to a third party and the mortgage borrower is a tenant of that third party;

“not cooperating” has the meaning given to it in Regulation 221;

“personal insolvency practitioner” means a person authorised, under Part 5 of the Act of 2012, to act as a personal insolvency practitioner;

“Personal Insolvency Arrangement” means –

• (a) an arrangement entered into by a debtor, or

• (b) an arrangement for which a proposal is made, under Chapter 4 of Part 3 of the Act of 2012;

“pre–arrears” means a case in which a mortgage borrower is or is likely to be in financial difficulty, and that arises in any one or more of the following circumstances:

• (a) a mortgage borrower contacts the regulated entity to which the mortgage debt is owed to inform it that he or she is in danger of experiencing financial difficulties;

• (b) a mortgage borrower contacts the regulated entity to which the mortgage debt is owed to inform it that he or she is concerned about going into mortgage arrears;

• (c) a regulated entity to which a mortgage debt is owed by a mortgage borrower establishes that the mortgage borrower is in danger of experiencing financial difficulties that may impact on the mortgage borrower’s ability to meet his or her mortgage debt repayments;

and references to a mortgage borrower “in pre–arrears” shall be construed accordingly;

“primary residence” means a property which is –

• (a) the residential property which the mortgage borrower occupies as his or her primary residence in the State, or

• (b) a residential property which is the only residential property in the State owned by the mortgage borrower;

“repossession” means any situation where a regulated entity takes possession of a property to which this Chapter applies including, without limitation, by way of voluntary agreement with the mortgage borrower, through abandonment of the property by the mortgage borrower without notifying the regulated entity, or by court order;

“standard financial statement” means the document in the prescribed form referred to in Schedule 4, which complies with the requirements of that Schedule, and which a regulated entity shall use to obtain financial information from a mortgage borrower in order to complete an assessment of that mortgage borrower’s case;

“trading down” means circumstances in which a mortgage borrower sells his or her primary residence and buys a lower value property;

“unsolicited personal visit” means a visit to a mortgage borrower’s primary residence that has not been requested by, or agreed in advance with, the mortgage borrower;

“voluntary sale” means a voluntary sale by the mortgage borrower of his or her primary residence in order to repay part, or all, of the mortgage loan;

“voluntary surrender” means voluntary surrender, by the mortgage borrower, to the regulated entity, of the primary residence.

Scope and application (Chapter 9)

220.

• (2) This Chapter applies in respect of mortgage borrowers in arrears and mortgage borrowers in pre–arrears, where the mortgage debt is secured by the mortgage borrower’s primary residence.

• (3) In the case of joint mortgage borrowers who notify the regulated entity in writing that they have separated or divorced, the regulated entity should treat each mortgage borrower as a single mortgage borrower under this Chapter, except to the extent that an action requires, as a matter of law, the agreement of both mortgage borrowers.

• (4) To the extent that this Chapter applies, Regulation 148, Regulations 188 to 190, and Chapter 10 of this Part do not apply.

Meaning of not cooperating

221.

• (2) In paragraph (1), “condition 1” means that any of the following circumstances apply:

• (a) the mortgage borrower fails to make a full and honest disclosure of information to the regulated entity and this information would have a significant impact on the regulated entity’s assessment of the mortgage borrower’s financial situation;

• (b) the mortgage borrower fails to provide information relevant to the mortgage borrower’s financial situation within the timeline specified by the regulated entity in accordance with Regulation 251(3);

• (c) a 3 month period elapses where –

• (i) the mortgage borrower has not entered into an alternative repayment arrangement and during that 3 month period the borrower –

I. has failed to meet his or her mortgage loan repayments in full in accordance with the mortgage loan contract, or

II. has met his or her mortgage loan repayments in full in accordance with the mortgage loan contract but has an arrears balance remaining on the mortgage, or

• (ii) the mortgage borrower has entered into an alternative repayment arrangement and during that 3 month period the mortgage borrower has failed to meet his or her repayments in full as specified in the terms of an alternative repayment arrangement,

and,

• (iii) during that 3 month period the mortgage borrower –

I. has failed to make contact with, or respond to any communications from, the regulated entity or a third party acting on the regulated entity’s behalf, or

II. has made contact with, or responded to communications from, the regulated entity or a third party acting on the regulated entity’s behalf, but has not engaged in such a way that enables the regulated entity to complete an assessment of the borrower’s circumstances.

• (3) In paragraph (1), “condition 2” means that the letter, required pursuant to Regulation 249, has been issued to the mortgage borrower and the mortgage borrower has not carried out the actions specified in that letter.

Dedicated person to be appointed for dealing with arrears

222.

• (a) dealing with arrears and pre–arrears cases, and

• (b) liaising with the regulated entity’s arrears support unit in respect of these cases.

All relevant information to be available prior to communicating with mortgage borrower

223.

Regulated entities to have procedures for dealing with arrears and pre–arrears

224.

• (2) The procedures referred to in paragraph (1) shall –

• (a) allow for a flexible approach by the regulated entity in the handling of these cases,

• (b) be procedures which have the core objective of assisting the mortgage borrower to resolve their financial difficulties,

• (c) set out how the regulated entity will implement the 4 steps of the MARP, and