# Fixed my tracker mortgage in 07 now bank wont allow me revert: Financial Ombusman?



## happy2be (4 Jan 2011)

Having originally taken out a tracker mortgage with my bank, In 07 I went on a fixed rate for two years.

The bank would *not *allow me back on tracker after the fixed rate period. Do I need the help of a barrister or solicitor in preparing my case for Financial Ombudsman.

Thank you any advice will be appreciated.


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## losttheplot (4 Jan 2011)

Was there any commitment from the bank that they would allow you back on the tracker when the fixed rate period was up. If the bank has discontinued their tracker products it would be difficult to see how they could allow you back on it.

Was there anything in the T&Cs of the fixed rate about what you would revert to when the period was up?


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## fuzzy10 (4 Jan 2011)

I had a similar problem with PTSB. Fixed in 2006, and fixed in 2008. I was offered the tracker in 2008 but not in 2010.

I had no joy with the bank, and also consulted with my solicitor/financial advisor. Seems I have little comeback.

Should have taken the tracker in 08 but no changing that now.

Stuck now with a high svr 4.65%.


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## Booter (4 Jan 2011)

mary burke said:


> Having orignally taken out a tracker mortgage with my bank,In 07 I went on a fixed rate for two years.The bank would *not *allow me back on tracker after the fixed rate period.Do I need the help of a barrister or solictor in preparing my case for Financial Ombusman.Thank you any advice will be appreciated



Hi Mary, 

You need to examine the wording of your original mortgage agreement, paying particular attention to both the General & Specific conditions. Also, you will have signed an MFA (like a contract) when fixing the rate, and this will also have set some conditions. If after examining these you feel you have a grievance, the financial ombudsman should be able to advise on the specific procedure to follow. This procedure includes you making formal contact with your bank/institution, requesting a final response to your grievance etc. 
The whole process is fairly drawn out and if you get to the stage where the ombudsman takes on a case, then there there is a waiting period of approx 20 weeks (I know, my similar case has been in the queue for about 18 weeks).
Its important to note that if you take a legal route with this as you suggest, then the financial ombudsman will have nothing to do with it. Its one or the other. 
For what its worth, IMHO you should steer clear of legal until you have exhausted every other option.

Hope this helps.


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## DingDing (26 Jan 2011)

We prepared our case with the ombudsman ourselves so there was no costs incurred at all.


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## happy2be (5 Feb 2011)

Thank you for reply.I took my mortgage out in '05 as a tracker mortgage and had no idea when I went fixed rate for 2 years that I was giving up my tracker mortgage.


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## twofor1 (5 Feb 2011)

Have a look at the case on page 9 here;

http://www.financialombudsman.ie/case-studies/November-09-case-studies.pdf

This might also be of interest;

http://www.financialombudsman.ie/BiAnnualReview.pdf 

*Tracker Mortgage Findings *
Mortgage complaints account for 37% of Banking Findings issued between the 1st January 2010 and the 30th June 2010. One type of Mortgage complaint of note is complaints regarding Tracker Mortgages. 
There are currently 40 such complaints in the office at this moment. The Office is engaged with the Financial Regulator regarding this issue. 
The complaints, in general, relate to the changing from a Tracker Mortgage rate to another rate be it either a fixed or variable rate and the information provided to the Complainant at that time regarding the ability to change back to a tracker rate. 
The Bureau, for these complaints, examines the information given to the consumer by the Provider regarding the change of rate and its implications on their mortgage and whether it was sufficient for the consumer to make an informed choice based on the information garnered. 
The cases frequently require an examination of the clarity contained in both the mortgage agreement and the Mortgage Form of Authorisation concerning the rate which the Complainant’s fixed rate would revert to upon expiry.


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## happy2be (5 Feb 2011)

*Tracker Mortgage*



Indiansign said:


> Hi Mary,
> 
> You need to examine the wording of your original mortgage agreement, paying particular attention to both the General & Specific conditions. Also, you will have signed an MFA (like a contract) when fixing the rate, and this will also have set some conditions. If after examining these you feel you have a grievance, the financial ombudsman should be able to advise on the specific procedure to follow. This procedure includes you making formal contact with your bank/institution, requesting a final response to your grievance etc.
> The whole process is fairly drawn out and if you get to the stage where the ombudsman takes on a case, then there there is a waiting period of approx 20 weeks (I know, my similar case has been in the queue for about 18 weeks).
> ...


Thank you for reply.  The original mortgage contract(putting it briefly) under special conditions states mortgage would be no more than 1% above ECB rate.  The Fixed rate form is not clear nor does it state by moving from Tracker to Fixed rate for two years Mortgage would         *NOT RETURN TO TRACKER MORTGAGE*.


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## marksa (6 Feb 2011)

mary burke said:


> The Fixed rate form is not clear nor does it state by moving from Tracker to Fixed rate for two years Mortgage would *NOT RETURN TO TRACKER MORTGAGE*.


 
i.e. it does not explicity say that you will revert/return to tracker. so you are highly unlikely to be entitled to Tracker. Somewhere in the document there should be something to indicate what happens on maturity of the fixed period. You haven't said which institution you are with. If you did, I'm sure there are others out there who have had similar cases and have got answers - good or bad!


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## happy2be (6 Feb 2011)

marksa said:


> i.e. it does not explicity say that you will revert/return to tracker. so you are highly unlikely to be entitled to Tracker. Somewhere in the document there should be something to indicate what happens on maturity of the fixed period. You haven't said which institution you are with. If you did, I'm sure there are others out there who have had similar cases and have got answers - good or bad!


 

Revert means returning to a former state - see Oxford Dictionary.  I was never on any rate other than a tracker so I expected to be returned to it.


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## DrMoriarty (6 Feb 2011)

Welcome to AAM, Mary.

Are you quite sure there is _nothing_ in the small print that indicates what happens to the rate upon expiry of the fixed term? The loan agreement would be unlikely to state explicitly that it "will _not_ return to the tracker mortgage", as you could have been moving to that fixed rate from a standard variable. In fact, I'd be surprised if the document actually uses the word "revert", but I may be wrong here.

I agree with Indiansign's advice about holding off on the legal route unless (a) you have exhausted all other options, and (b) your lawyer advises that your case has legs. But I suspect that the bank would back down first, in that case.

As has been suggested, if you name the lender it's likely that someone here will have been in a similar position and can offer more pertinent advice. But the wording of the loan agreement is fundamental. You signed this before a witness precisely to verify that you had read it carefully and were fully aware of its contents.


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## Pete October (7 Feb 2011)

*Mortgage agreement conditions/MFA*



mary burke said:


> Revert means returning to a former state - see Oxford Dictionary. I was never on any rate other than a tracker so I expected to be returned to it.


 
Mary, I would like to see the complete wording of your agreement.If you were on a tracker rate before you fixed and the MFA states you will revert to anything other than a tracker then the wording of the MFA is legally unsound and you certainly have a strong case to be put back on the tracker..
I believe all Mortgage lenders have recently tightened up on the wording of their contracts as the some were ambiguous and misleading.


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## wbbs (8 Feb 2011)

Have a look at this thread, it was updated today

http://boards.ie/vbulletin/showthread.php?t=2055417723


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## raglan (8 Feb 2011)

Dingdong,

Have you heard anything back from the ombudsman regarding your case? How long did it roughly take to be processed, if you have? Was the outcome in your favour?

Or anyone else with a similar problem who went to the ombudsman, did anyone have a good outcome? We are in a similar position.


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## happy2be (12 Jun 2011)

No I didn't hear decision yet from Ombudsman Office, gave office all details including original mortgage contact, to the best of my knowledge its a long wait.


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## paperclip (8 Aug 2011)

happy2be said:


> No I didn't hear decision yet from Ombudsman Office, gave office all details including original mortgage contact, to the best of my knowledge its a long wait.



hey happy, any update on this?


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## Ainek77 (13 Aug 2013)

*Update as am looking to pursue a case also!*

Hi all I also feel I have a case, I fixed with UB in 2007 for three years there was no mention of losing my tracker mortgage on the letter offering the fixed rate options it stated the following 'at the end of the fixed period: ulster bank may offer to continue the advance for such a period and at such a fixed rate as it may decide. It may also offer alternative available products. If such offer is made and you elect to accept them you must do so in writing.......if no such offer is made or if an offer is made and no acceptance is received as prescribed above, then, FROM THE DAY FOLLOWING THE EXPIRY OF ANY OPTION SELECTED ABOVE, THE ULSTER BANK HOME LOAN RATE SHALL APPLY IN ACCORDANCE WITH GENERAL CONDITION 2 OF THE OFFER OF ADVANCE ORIGINALLY ACCEPTED BY YOU' (subsequent letter offering fixed rates in 2012 when my fixed rate term ended does mention that the tracker rate will no longer be available). I got my offer letter from my solicitor which states 'THE RATE OF THE ULSTER BANK FLEXIBLE MORTGAGE TRACKS ECB RATE WITH A MARGIN WHICH IS FIXED FOR THE LIFE OF THE HOME LOAN TERM. THE MARGIN FOR THIS HOME LOAN IS ECB RATE PLUS 1.15%' My question is who do I go to first? I rang Ulster Bank who advised I could revert to my tracker mortgage and when I stated I believed I could they sent me all the documentation I signed when I fixed, do I contact them in writing now or do I go straight to the ombudsman? I know I could contact Padraic Kissane but I would like to see if I can get this resolved myself or do I suck it up and pay the €600 plus the 15% of compensation if I am lucky enough to get that far? My current mortgage rate is 4.5% and if I was on tracker would be 1.65% - bit of a difference plus it's almost three years since I came off my fixed rate so I believe the compensation would be significant. Anyhuw any advice on this would be appreciated.

Thanks and regards,

Áine


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## peteb (13 Aug 2013)

No. You have to write to Ulster Bank first and make a complaint.  They investigate it and when they don't come to a conclusion you like they have to issue a Final Response letter. 

You cannot go to the Ombudsman until you have this.   

Ulster Bank will continually write to you to say that you aren't entitled to it.  But you are.  Don't get into responding and taking it personally despite the frustration and desire to as it draws the process out longer.

Go to the Ombudsman and he will likely find in your favour.  Been there, done this.  Had a friend in the exact same position as myself.  They were given it back by Ulster Bank with no problem but I had to fight it all the way.


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## Ainek77 (19 Aug 2013)

Thank you Peteb I have sent a letter to UB so fingers crossed!!!


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## becb (9 Oct 2013)

Hi Ainek77. I am in the exact same position as you and wrote to UB today. Have they replied to you yet?


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