Bank of Ireland approached KBC Bank about potentially acquiring KBC Bank's performing assets and liabilities in February.
Both banks have announced negotiations are underway that, if agreed, would see KBC exit the Irish market.
John O'Connell, General Secretary of the Financial Services Union, says 12 hundred jobs could be impacted if an agreement is reached:
"They need to know with some degree of certainty what's occurring and what are the timeframes involved."
Serious implications if KBC exits Irish market with proposed sale to BOI.
Leaves just 3 banks, 2 of which substantially state owned. Not good for customers.— @sinead_ryan (@sinead_ryan) April 16, 2021
But Don't Panic If You're A KBC Customer
However customers of KBC are being urged not to panic, as it could take years for the bank to leave.
Darragh Cassidy is head of communications with bonkers.ie.
"We're not going to see KBC disappear overnight, they've been here 40 years."
He continues to say the bank has a branch network hubs around the country with a lot of customers.
"These wind-downs can take a huge amount of time."
Finance Minister Paschal Donohoe admits it will alter the competitive landscape of the banking sector.
However he adds that there will still be plenty of choice for consumers.
KBC's non-performing mortgages are NOT part of these talks.
