# AIB Tracker Redress and other matters



## moydowone (21 Jul 2022)

Hi Brendan and all.

Thank you, Brendan, for all your work for all the mortgage holders all over Ireland. 

We took a complaint to AIB circa 2011 that due to the "tracker" and "prevailing rate" conditions in our mortgages that we were entitled to a tracker mortgage after coming off a fixed rate (fixed from the start of our mortgages). We failed with AIB and the FO at the time. Subsequently received standard compensation but no tracker rate. They had argued initially in 2011 that there was no market tracker rate available when we fell off fixed rate and that all they could offer was a variable rate to us. We were subsequently offered various tracker rates at higher rates than what we expected we deserved. Our argument was that there was a market "prevailing rate" (albeit with internal customers), [anticipating their climbdown]. Surely our rate should have been either an average of the rates that they put other fixed mortgage holders who went back on trackers on the day our fixed rate ended or either the lower or higher end of that scale on that day? We were subsequently offered the standard compensation as I said earlier. Do you think there is anything further we can achieve? We still feel hard done by since we know if we had been on trackers since the end of the fixed period that our loan balances would not be as high as they are today and we would have had much more disposable income to spend on our children. Also I feel aggrieved that the FO did not rule in our favour at the time, even despite the fact we were willing to go to mediation (refused by AIB). We also had significant structural problems with our house (which AIB was aware of) and fought a High Court Case to stay in our house that had to be renovated. Any help appreciated...


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## Brendan Burgess (22 Jul 2022)

moydowone said:


> We were subsequently offered the standard compensation as I said earlier.





moydowone said:


> We still feel hard done by since we know if we had been on trackers since the end of the fixed period that our loan balances would not be as high as they are today



Hi Moy

While we were delighted to have our complaint on the Prevailing Rate issue upheld by the Ombudsman, I was initially disappointed that he did not put people back on trackers. At the time, we argued that the Prevailing Rate was ECB +1.5%. 

However... in all cases I have looked at the Ombudsman's formula worked out better for the borrower than if he had ordered that they be put back on ECB +1.5%.   And in some cases, much, much, better. 

That was the last time I looked.  

And today, we are recommending that people on ECB +1.5% should probably give up their tracker to fix. 

So I think that the premise of your argument is wrong. 

You are in a much better place now.

I am assuming you got the 12% write-down and the interest on that? 

Brendan


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