AIB says legal letters resulted in more ‘engagement’ by borrowers with the bank

Half of the 6,600 legal letters sent out by AIB to borrowers in arrears of 90 days or more have resulted in engagement with the bank by the borrowers.

Chairman David Hodgkinson told shareholders at the bank’s AGM that none of the 6,600 borrowers had provided financial statements when requested to do so by AIB prior to being threatened with legal action.

He said once borrowers engaged with the bank after receiving legal letters AIB would “roll back” from legal action.

Mr Hodgkinson said a further 10-15% of those 6,600 borrowers in receipt of legal letters had since begun meeting their repayments in full.