# High tracker rate from ptsb 2.25%?



## Hard worker (4 Feb 2020)

Heard about the AIB redress, and totally ignorant of all things financial but was just wondering if the Permanent TSB rate is over what it should be.  When mortgage taken out in 2010 it was 3.25%, now 2.25%, which has always seemed to me to be higher than it should.  Is there an issue with this?  This is our principle residence.


----------



## thedman (7 Feb 2020)

What does your loan contract say? From the rate you quote above, it looks like you are on a margin of 2.25%. 

Why do you think it should be lower? In 2010, everyone knew Trackers were bad news for banks, most banks had withdrawn them, and those that hadn't had increased the margin to offset the risk.

Even with that large margin, which you would have agreed to at the time (again, you need to check your contract to see exactly what margin you agreed to), your tracker rate is still considerably cheaper than any variable rate loan.


----------



## Hard worker (11 Feb 2020)

thedman said:


> What does your loan contract say? From the rate you quote above, it looks like you are on a margin of 2.25%.
> 
> Why do you think it should be lower? In 2010, everyone knew Trackers were bad news for banks, most banks had withdrawn them, and those that hadn't had increased the margin to offset the risk.
> 
> Even with that large margin, which you would have agreed to at the time (again, you need to check your contract to see exactly what margin you agreed to), your tracker rate is still considerably cheaper than any variable rate loan.


Ok thank you. Will take a look at contract but was just curious


----------



## peemac (12 Feb 2020)

2010
Margin seems right. Didn't think trackers were even still available then, so you were lucky. 

On top of that you probably bought at a reasonable price as the market had dropped a fair amount by then (and dropped further)

Overall I think you did ok


----------

