Alternative Repayment Arrangements

After we have assessed your SFS and supporting documents, we will contact you to discuss the outcome. We will try to find an appropriate resolution for you, wherever possible.

Depending on your circumstances, one of our alternative repayment arrangements may be appropriate for you. This could prevent your mortgage from falling into arrears or further into arrears.

Each of the arrangements has its own qualifying criteria, with each SFS assessed individually.

	Key features	How it works
Interest Only	You will only pay the interest owed on your loan during this period and not the capital amount owed.	Your mortgage repayments are reduced for an agreed period. Your mortgage repayments for the remaining term are recalculated. This means that your repayments will then increase.
Fixed Repayment	You will pay a series of agreed repayments which could be interest and some capital or repayments which could be less than the interest amount due.	At the end of the agreed period your mortgage repayments for the remaining term are recalculated. This means that your repayments will then increase.
Repayment Break	Defer the payment of all or part of your mortgage repayment for an agreed period of time to ease the immediate financial pressure on you.	At the end of the agreed period your mortgage repayments for the remaining term are recalculated. This means that your repayments will then increase.
Extension of Loan Term	Extend the term of your mortgage which could reduce your monthly repayments.	Spreading the amount owed over a longer period of time to reduce repayments. You will pay more interest over the longer term.
Capitalisation of the Arrears and Interest	Restructure your repayments by spreading the amount of any missed repayments and interest over the remaining term of your mortgage.	Your mortgage repayments are recalculated based on your paying off the mortgage amount plus the amount missed repayments that have been added to it. This means that your repayments will increase.
Split Mortgage	Your mortgage is split into two portions so that it is more affordable.	The first portion is made of capital and interest repayments based on what you can afford. The remaining portion of the mortgage is deferred for a period of time where you don’t need to make repayments.

What happens if you don't offer me or I don't accept an alternative repayment arrangement?

If we don’t offer you an alternative repayment arrangement we may consider one of the below options.

These options are available based on your individual circumstances and have qualifying criteria.

You can appeal our decision to not offer you an alternative repayment arrangement or if you decide you don’t want to accept an alternative repayment arrangement offered to you.

	Key features	How it works
Voluntary Surrender	This involves you voluntarily surrendering your property to the bank.	After the property is surrendered, the bank will then look to sell the property. If the property is sold for less than the amount you owe on your mortgage, you will still have to pay us the amount that remains outstanding.
Mortgage to Rent	This is a Government initiative to help homeowners who have engaged through the Mortgage Arrears Resolution Process (MARP) to stay in their property as a tenant. Under the Mortgage to Rent (MTR) scheme an Approved Housing Body or private company can buy your home after you voluntarily surrender it to your bank	You will continue to live there as a tenant of the local Authority or Approved Housing Body. For more information on how to qualify for MTR scheme visit The Housing Agency
Negative Equity Trade Down	We may agree to give you a smaller mortgage for you to downsize to a less expensive home.	Any outstanding ‘negative equity’ is added to the new loan and secured on the new property. Full capital and interest payments will be made on the new.
Voluntary Sale of your Property	This involves you selling your property on the open market and the proceeds used to clear your mortgage debt	If you sell the property for less than the amount you owe on your mortgage, you will still have to pay us the amount that remains outstanding

Make an appeal

If you are unhappy with a decision we made under the MARP, you can appeal to our appeals board if:

we offer you an alternative repayment arrangement which you have declined and we inform you in writing of other possible options that you may want to consider.
we didn’t offer you an alternative repayment arrangement.
we considered you as not cooperating.

The Appeals Board has three of our senior people who have not been involved in your case previously. If you want to appeal, write to us within 20 business days of receiving a letter from us in relation to one of the above scenarios, explaining the reason for the appeal, to: Mortgage Appeals Officer, P.O. Box 11826, AIB Bank, 10 Molesworth Street, Dublin 2, or you can email us to mortgage.appeals@aib.ie.

You can find more details here.