Coco_Dazzler
Registered User
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Given the widely publicised scandal involving tracker mortgages as follows:
Tracker rate (at start of mortgage) to Fixed rate to Tracker rate
Originally not allowed according to the banks, however, Central Bank of Ireland has said otherwise and now compensation and refunds are due to customers.
What is the difference with the following (aside from the type of rate) scenario:
LTV >80% (at start of mortgage) to Fixed rate to LTV >80% / standard variable rate - allowed by the bank; whereas
LTV >80% (at start of mortgage) to Fixed rate to LTV Var >50<=80% - not allowed by the bank despite having provided an independent professional valuation report (as requested) to show the outstanding loan versus the value of the property qualifies for the lower LTV Var >50<=80% rate.
In the case of tracker mortgages, banks were found not to have been sufficiently clear with customers or failed to honour contractual commitments.
Surely by forcing customers to accept they can only go back to LTV >80% (based on original market value rather than current market value) is another form of fixing the rate to their advantage with current interest rates.
What is the difference in the terms and conditions when comparing a mortgage granted at LTV >80% vs. a mortgage granted with a tracker rate ?
Tracker rate (at start of mortgage) to Fixed rate to Tracker rate
Originally not allowed according to the banks, however, Central Bank of Ireland has said otherwise and now compensation and refunds are due to customers.
What is the difference with the following (aside from the type of rate) scenario:
LTV >80% (at start of mortgage) to Fixed rate to LTV >80% / standard variable rate - allowed by the bank; whereas
LTV >80% (at start of mortgage) to Fixed rate to LTV Var >50<=80% - not allowed by the bank despite having provided an independent professional valuation report (as requested) to show the outstanding loan versus the value of the property qualifies for the lower LTV Var >50<=80% rate.
In the case of tracker mortgages, banks were found not to have been sufficiently clear with customers or failed to honour contractual commitments.
Surely by forcing customers to accept they can only go back to LTV >80% (based on original market value rather than current market value) is another form of fixing the rate to their advantage with current interest rates.
What is the difference in the terms and conditions when comparing a mortgage granted at LTV >80% vs. a mortgage granted with a tracker rate ?
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