An Irish bank is paying €50,000 to people who lost their houses because it calculated their mortgages wrong

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A child waves a flag during a St Patricks Day Parade.

An Irish bank is paying €50,000 to people who lost their houses because they were charged the wrong interest rate.

Permanent TSB estimates that around 61 people may have been forced out of their homes because of the error.

The bank said it would also write off the rest of their mortgages if they still owe money.

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The redress is part of a review of more than 1,300 accounts by Permanent TSB and Springboard Mortgages, following an investigation by the Bank of Ireland.

The lender said "the failures which occurred have had very serious consequences for impacted customers and we apologise unreservedly on behalf of the Group to them and to all our customers."

Some customers weren't told that they could get a cheaper tracker rate at the end of their fixed rate mortgage term. They've now been put on the tracker rate, "to allow them to consider their options," the bank said.

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People who lived in their house fare better than those who let them out to renters. The buy-to-let accounts will only get redress of €25,000.