AIB has introduced wide-ranging restrictions on mortgage lending in light of the Covid-19 pandemic, internal documents seen by The Irish Times reveal. They include a de-facto ban on mortgage lending to those in receipt of State wage subsidies and extra scrutiny on applications from people working in “high risk” sectors of the economy. The changes, which will extend to its specialist mortgage lenders EBS and Haven, were described as “frightening” by one mortgage market source, who added it would have “huge ramifications”. The changes to policy are outlined in a credit policy update distributed to EBS lending managers on June 17th. The spokesman said the group will keep its mortgage procedures under review as the Covid-19 situation evolves.

Source: The Irish Times June 29, 2020 01:52 UTC