The Central Bank has published a revised simplified Standard Financial Statement (SFS) to assist borrowers in financial distress.

The move follows a review and must be used by all regulated firms from 1 January.

The SFS is used by regulated firms to gather information from distressed borrowers on their current financial situation.

Once it is completed, their lender can assess whether it can offer a borrower an alternative repayment arrangement.

The 2021 Central Bank review of the SFS found that it was a complex document, with some borrowers struggling with its length and having difficulty understanding the requirements.

Shorter

The revised SFS is significantly shorter and the Central Bank has published a consumer guide on its completion.

The Central Bank has said that the existing regulatory framework provides significant protections and supports for borrowers in or facing mortgage arrears.

The amendments to the SFS will further enhance those protections, the body says.