LONDON (Alliance News) - Permanent TSB Group Holdings PLC said Thursday it has agreed to pay a EUR21 million fine following an enforcement investigation by the Central Bank of Ireland into tracker mortgages.
The fine was discounted by 30% - representing a gross figure of EUR30 million - after Permanent TSB agreed to an early settlement, in line with the Central Bank's Administrative Sanctions Procedure.
Shares in the Irish financial services firm were down 0.6% at EUR1.30 on Thursday.
The Central Bank of Ireland first set out the framework for the tracker mortgage examination in 2015, to cover all mortgage lenders that have sold tracker mortgages in Ireland at any time in the past.
The examination required all lenders to examine the extent to which they meet contractual obligations in customers, their compliance with obligations under consumer protection regulations, and communication with customers over such matters.
Permanent TSB said the financial impact of the fine will be "a small charge" in its accounts for the 2019 financial year, since the group said it had made provisions in relation to the overall tracker mortgage programme in prior years.
The fine represents the conclusion of the Irish central bank's investigation into tracker mortgages at Permanent TSB.