← Back to Blog

Focus on the various challenges faced by consumers whose mortgages have been sold to vulture funds.

5 min read By ben

We are seeing consistent patterns across cases and courtrooms. This update covers the main situations currently arising:

  • (a) Civil Bill issued – what you need to know
  • (b) Possession Order issued
  • (c) Eviction Notice issued
  • (d) Struggling to pay high interest rates
  • (e) Escalation at regulatory level

We are assisting six consumers prepare Judicial Review applications against the Financial Services and Pensions Ombudsman (FSPO) for breaches of timelines recommended under the Alternative Dispute Resolution (ADR) Directive 2013/11/EU.

Another client has his application hearing for a Judicial Review on the 18th May 2026; the Circuit Court judge dismissed his plea to have Unfair Terms investigated last July 2025. 

1. Eviction Notice Issued? You May Still Have a Strong EU Law Defence

An eviction notice is often treated as the final step. It is not.

Under EU consumer law, particularly the Unfair Contract Terms Directive 93/13/EEC, courts are required to assess unfair terms of their own motion before enforcing a mortgage.

If that assessment has not taken place:

  • The enforcement process may be legally incomplete
  • You may be entitled to seek an urgent stay (including ex-parte in appropriate circumstances)
  • A complaint to the FSPO can form part of that strategy

Key point:
Even at eviction stage, the court’s obligation to examine unfair terms remains live.

2. Before the Court Grants Possession — This Must Be Investigated

Where a Civil Bill has been issued, the process has begun – but it is not predetermined.

The court must consider:

  • Whether the core terms of the mortgage were transparent
  • Whether you were in a position to understand the economic consequences of:
    • The interest rate mechanism
    • The repayment structure
    • Long-term financial risk

This is not a technical defence – it is a mandatory legal requirement under EU law.

What typically arises in our cases:

  • No clear interest rate benchmark
  • Long-term risks not explained at drawdown
  • Repayments extending beyond retirement without proper assessment

Your position:
You are entitled to place this issue before the court in a simple affidavit, supported by an Expert Banking Opinion.

3. Possession Order Granted — What Happens Next?

A possession order does not necessarily conclude the matter.

Where unfair terms were not examined:

  • There may be grounds to appeal
  • There may be grounds for Judicial Review
  • The issue can still be raised in parallel through the FSPO

This is particularly relevant where:

  • The court did not engage with an affidavit raising unfair terms
  • The issue was dismissed as having “no substance” without investigation

Legal position:
The obligation to assess unfair terms cannot be bypassed by procedural arguments.

4. Are You Paying 9% When Others Pay 3.5%? Here’s Why

A recurring issue across vulture fund cases is interest rate opacity.

Many consumers:

  • Were never given a clear mechanism for how rates would be set
  • Cannot identify any objective benchmark
  • Are now subject to materially higher rates than mainstream lenders

This raises a core question under EU law:

Could the consumer reasonably understand the long-term cost of the mortgage at the time it was entered into?

If the answer is no:

  • The transparency requirement may not have been met
  • The term may fall outside protection normally given to “core terms”

Practical impact:
A difference of even 2% over a mortgage term can exceed €100,000 in additional cost.

5. FSPO Complaint Filed? Here’s How to Use It in Court Now

We are seeing increasing interaction between the courts and the FSPO process.

Under Section 49 of the FSPO Act:

  • You may apply to stay court proceedings
  • The court should consider whether the matter is more appropriate for investigation by the Ombudsman

At the same time:

  • The FSPO is expected to operate within reasonable timelines
  • Delays may engage the principle of effectiveness under EU law

This is why we are now:

  • Preparing six Judicial Reviews concerning delay
  • Advancing cases already before the courts this month

Strategic position:
The FSPO is not separate from your court case — it can be used as part of your legal strategy.

Final Note

Across all five scenarios, one principle remains constant:

Unfair terms in consumer mortgage contracts must be investigated – not assumed, not dismissed, and not ignored.

Misselling.ie is designed to:

  • Provide court-ready template documentation
  • Support consumers with Expert Banking Opinions
  • Enable action without the cost of full legal representation

Mortgage Complaints/Claims registered with Misselling.ie

Over 600 complaints are now progressing to the FSPO, representing more than 1,100 Irish consumers asserting their European consumer rights.

Facebook

Please follow us on Facebook. This helps to get the message out to your fellow citizens.

Registrations

Just under100 Registrations are still not complete.  Most common reason we believe is that our Welcome Pack went to Junk or Spam folders. If you registered after 1 October 2025, you can log into your account on the website Misselling.ie – “Customer Login” and use the “Forgot my password” facility to gain access.  You will see the status of your complaint or you will be asked to complete your Registration.  That involves supplying your photo IDs and signing the Letter of Authority. We need these to progress your complaint.

Customers who registered with us prior to October 2025, you are fully registered and complaint filed. 

Please note: Registration and complaint to the FSPO is free and on a No Win, No Fee basis.