Bank entitled to possession of late Sligo woman's home in 'Life Loan' case

The High Court has ruled that Bank of Ireland Mortgage Bank is entitled to take possession of a rural property in Ballinfull, County Sligo, following the death of its owner in 2008. The deceased woman had borrowed €60,000 through a Life Loan mortgage in 2006 when aged 86 to fund home improvements on the cottage and six-acre holding. Mr Justice David Nolan determined the possession claim was not statute-barred, as the bank's action sought recovery of security rather than debt recovery. However, he found a dispute over approximately €90,000 in accumulated interest warrants a full hearing, noting this sum substantially exceeds the original loan amount. The judge expressed concern at the bank's eleven-year delay in initiating proceedings and rejected its explanation for the delay. The property is valued at €180,000. The matter will return to court for final orders.