# end of fixed rate - bank not offering option as per loan agreement (ECB+1.1 %)



## Petal (24 Nov 2009)

I just received my options letter from permanent TSB and they're offering me a variable of 3.65 and 4 different fixed rate options (very high ones I must add). The one thing they are not offering is my original tracker ECB+1.1 as detailed in my special conditions in my loan agreement (which say that I can revert to same on expiry of my fixed rate upon informing them thereof).
I've also clarified this with them in writing in Feburary of this year and they confirmed that indeed the tracker would be available on expiry of my fixed rate. 

So I am puzzled now, that the option is not given in my "options letter". I've drafted a letter informing them of my loan conditions, attaching  the confirmation received in February and informing them of my choice to revert to the tracker rate.

Are they just trying to see if people have forgotten about their special agreements, trying to lure them into expensive variable rates? Or should I assume that this was just a genuine mistake?


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## NorfBank (24 Nov 2009)

*Re: end of fixed rate - bank not offering option as per loan agreement*



Petal said:


> Are they just trying to see if people have forgotten about their special agreements, trying to lure them into expensive variable rates? Or should I assume that this was just a genuine mistake?



It's one or t'other. I know which one I would pick seeing as this is the lender that was allowing people to break out of their fixed rates for "free" (but only if they were reverting to a tracker)


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## pjmn (24 Nov 2009)

*Re: end of fixed rate - bank not offering option as per loan agreement*

Just write back - enclosing copy of letter with your original offer - stating that having considered their generous offers, you'll opt for the Tracker as per your original agreement - register the letter and seek written confirmation from them that your new rate is Tracker + 1.1% (I'd enclose a SAE lest they can't afford the stamp).


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## Petal (24 Nov 2009)

*Re: end of fixed rate - bank not offering option as per loan agreement*

Yep, I am doing just that. I'm sending a registered letter - and I've just emailed them scanned copies of all correspondence, so they cannot deny me advising them of my choice!

And yes, Norfbank, they offered us to break out of our fixed rate for free if we'd go with the variable rate at the time, and only then did I enquire about the option to revert back to the tracker, and it transpired that this option was only availalbe if I waited until the expiry of our fixed rate.... So my thinking is they're chancing their arms trying to get people onto their variable rate, by whatever means!


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## STEINER (24 Nov 2009)

*Re: end of fixed rate - bank not offering option as per loan agreement*

We had the option of tracker when our PTSB mortgage came off fixed a year ago, and we went for it.  They obviously don't want you to choose it, which is why they have " omitted " it from the list of options sent to you.


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## roro123 (24 Nov 2009)

*Re: end of fixed rate - bank not offering option as per loan agreement*

You probably got a standard system generated letter, but because trackers are no longer available to new mortgages, it possible that this is missing from your letter. Your loan agreement was probably specific to you and varied from the standard offering available. The bank will have to honour the terms of the original agreement and they should put you on the agreed rate.


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## Bronte (25 Nov 2009)

Petal said:


> Are they just trying to see if people have forgotten about their special agreements, trying to lure them into expensive variable rates? Or should I assume that this was just a genuine mistake?


 
We are taking about a bank so the answer is the former.  

In any case 99% of bank errors are in the banks favour.


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## Petal (25 Nov 2009)

Yeah emailed and sent letter and got response that I can avail of tracker rate.... One has to be on one's toes with banks, that's for sure!!!


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## Bronte (26 Nov 2009)

Petal said:


> Yeah emailed and sent letter and got response that I can avail of tracker rate.... One has to be on one's toes with banks, that's for sure!!!


 

I think once you have your fixed rate sorted you should make a written complaint about their VERY SHARP practice and also complain to the banking ombudsman/regulator.


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## MentalNote (27 Nov 2009)

Hi Petal,

So you mind me asking what the fixed rates you were offered were?


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## househunter! (28 Nov 2009)

hi petal i would still be bringing this situation to the ombudsman . if it is an error or not the bank should be offering you the tracker rate that you are eligable for . even if it isnt in the banks favour it is a legal requirement 

hi indiansign i would double check the fixed rate offer letter you got becuse those letters are standard and have a rate that your mortgage will default to after the fixed term is up . if it says that you can go back to your tracker make sure you get it bank . but i would suspect that you gave up your tracker for good when you switched into the fixed rate .


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## Petal (28 Nov 2009)

Mentalnote, I got offered
LTV Variabe of 3.65
2 year fixed 5.25
5 year fixed 5.75
7 year or 10 year fixed 6.1

Needless to say, I am more than happy with my 2.1 Tracker!

and no worries Indiansign, I'm sure we're not the only ones with this type problem, and best to have it all under one thread! Keep pursuing your quest, from what you say, you are entitled to your original rate, would definitely get a solicitor to write a letter!


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## MentalNote (1 Dec 2009)

Thanks Petal, bloody hell fixed rate is expensive!


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