# AIB TRACKER MORTGAGE QUERY - self build issue



## March11 (14 Nov 2017)

My husband applied for Mortgage Loan with local AIB branch in mid 2008. In early July he received a letter of offer for same which was a Tracker Rate.

He then enquired with branch about having rate fixed on the mortgage so as to have reassurance on repayments and was informed that he would have to write a letter to the effect that he wanted to fix the rate, which he did. Approximately 3 weeks later he received a second letter of offer, with original reference no., which had a 3 year fixed rate reverting back to a variable rate for the remainder of the mortgage. He signed this offer upon the advise he had been given from the bank. When this mortgage offer was sanctioned and funds ready for release he was then informed that he was not entitled to draw mortgage payment down in stage payments (as it was a new self build) as a fixed rate mortgage, that it would have to be drawn down at variable rate. He was then requested to write another letter to ask for the mortgage to be released at variable rate until drawn down in full at which point it could be fixed. He did as requested by the bank and mortgage was released at variable rate.


Both letters of offer terms are identical and use the same reference no. Both make reference to reverting to tracker rate after fixed period. As far as he can see AIB were still offering Tracker Mortgage rates until late October 2008.


The lender knew from the beginning that this was a self build and therefore would not release funds on a fixed rate until drawdown was complete. Had he been informed of this, initial letter of offer would have been accepted. Basically the lender asked him to request and sign up to something they were not in a position to offer, in doing so denying the possibility of a tracker mortgage.


I hope this explains the scenario.  In T & C's, it has, at end of fixed term - a, b, c, options - one of which is revert to tracker.  This is in bother offers he received.


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## todo (14 Nov 2017)

My Advice would be contact AIB ask them to include your mortgage in the Central Bank Tracker examination review.
Once the review is over, appeal the findings with the ombudsman.

If they won't include your mortgage in the review, your only option will be to send in a compliant and let the ombudsman adjudicate.

In my view AIB should have made it clear that he was signing away the tracker, removing the ability to revert to trackers from offer letters was a significant change in the banks favour. In my view a breach of the CPC, the customer should have been made aware, and given time to make a decision as to stay or move to a different bank.


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## March11 (14 Nov 2017)

Thank you for your opinion.  It is much appreciated.


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## Skippy1 (15 Nov 2017)

Check out posts in following thread 

https://www.askaboutmoney.com/threads/aib-restoring-my-tracker-but-at-3-67.199391/

Should be entitled to this questionable rate.....


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## Brendan Burgess (15 Nov 2017)

Did the fixed rate offer specify the margin at the end of the fixed rate? 

Did it say 
At the end of the fixed rate period, you will roll over onto a tracker at ECB +1% ?

Or did it say:
At the end of the fixed rate period, you will roll over onto a tracker at then prevailing rate? 

As todo says, the first step is to write to AIB asking them to confirm that you are included in the review.

Brendan


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## March11 (5 Dec 2017)

Update - he wrote to AIB and got a letter back saying his mortgage is being included in the review and that they will update every 28 days.  Thanks to all for advice.


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