AIB is to write off debt for distressed borrowers who come to split mortgage arrangements with the lender.
It's understood the bank will select the customers who will qualify for the new product.
It's also expected that borrowers who already have a split mortgage arrangement with AIB can be transferred to the new product and have part of their debt written down.
David Hall of the Irish Mortgage Holders Organisation says it's a lifeline for some distressed mortgage holders:
