At the start of 2019, the Irish credit servicing regime was
expanded so that holding legal title, determining overall portfolio
strategy, and maintaining control over key portfolio decisions in
respect of residential mortgage loans, or in respect of SME
mortgage loans originated by a regulated entity, now triggers an
authorisation requirement. What impact will the proposed EU Credit
Servicing Directive have on the Irish regime? This briefing looks
at the background to the EU proposal, and what effect it might have
in Ireland.
Background
In March 2018, the European Commission (the
"Commission") published its proposal for
a directive on credit servicers, credit purchasers and the recovery
of collateral (the "Proposed
Directive"). The parts of the Proposed Directive
dealing with a suggested accelerated extrajudicial collateral
enforcement procedure (known as the
"AECE") were split out from the Proposed
Directive when it became apparent that reaching consensus on
