# KBC Ireland sells €1.9bn of bad loans to Goldman Sachs - no family homes.



## demoivre (9 Aug 2018)

https://www.rte.ie/news/business/2018/0809/983957-kbc-nonperformingloans-goldmansachs/


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## Brendan Burgess (9 Aug 2018)

No family homes included. 

Buy to lets and commercial loans. 

Brendan


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## bluestilton (9 Aug 2018)

Just rang KBC re my buy to let to see if included in sale. Was told that they didn't know but letters will issue in coming days to all affected. I asked who would be servicing these mortgages if my property sold on ..,was told Pepper would be servicing on behalf of Goldman Sachs. Have about 900 euro arrears on account but meeting full repayments for last few years. What should I do to ensure that I hold onto the property as I suspect I am included in sale. Was told all those with arrears and those restructured in the past are considered non performing even if up to date with payments so strong chance I am included. Property worth about 90k bought for €190 and balance remaining is €88k remaining term is about 11 years. Monthly repayments are €761. Advice appreciated.


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## Brendan Burgess (9 Aug 2018)

Your contractual obligations and rights are unchanged. 

But they ask you to sell it and appoint a Receiver if you don't.

Best thing to do is to get your account up to date as quickly as possible.

Brendan


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## Ciararyan (12 Sep 2018)

Will KBC sell restored tracker loans to Goldman Sachs ?


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## Brendan Burgess (13 Sep 2018)

The criterion for the sale seems to have been whether they were performing or not. 

If they restored a tracker on your buy to let and it was performing, it should not have been sold.

Brendan


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## Ciararyan (13 Sep 2018)

Interest only till 2021, I didn't think they'd have the nerve to sell this after "error" for 5 years.
I'm taking an appeal, time up in April. If it's sold would Goldman Sachs leave me alone till
2021, or what tricks are available to them ?


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## RedOnion (13 Sep 2018)

Have you received a letter saying it's being sold?


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## Ciararyan (13 Sep 2018)

I have one sold, not impacted under tracker.
If they dare to sell the impacted loans, there should be an uproar.
Anyone know if Goldman Sachs will honour the contracts till 2021?


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## Ciararyan (13 Sep 2018)

I meant like, in theory they have to honour contracts,
but how does it really work? I don't understand the pitfalls
here, I want to sell in 2021, 3 years time. Would they try to
force a sale before that?
Brendan would they let sleeping dogs lie till then do you think ?


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## esiuol (14 Sep 2018)

Can a bank sell a mortgage to a vulture fund if already in the court process (repossession)


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## RedOnion (14 Sep 2018)

esiuol said:


> Can a bank sell a mortgage to a vulture fund if already in the court process (repossession)


Yes.
They then go through a court process to allow the fund substitute them in the court proceedings, so the proceedings can continue.


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## gahfan (17 Sep 2018)

Got a letter from KBC recently to say my mortgage is being sold to Goldman Sachs and managed by Pepper.

Buy to let property rented out, was paying interest plus a small portion of capital, no arrears, costing me money every month so would be happy to sell it if they would write off the residual debt. Anyone know if they are likely to do that?


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## bluestilton (17 Sep 2018)

For those of you who received a letter from KBC regarding sale of mortgage please check paragraph one. The letter I received from KBC on 23rd August states: "We will write to you to confirm the date on which the transfer has taken effect".  This does not give two months notice and my understanding from this statement is "we will notify you after the event" Under the Consumer Protection Code clause 3.11b they are obliged "to provide at least two  months notice to affected consumers to enable them to make alternative arrangements". I have emails going over and back to them at the moment regarding the lack of notice in their correspondence. They had the audacity to state that the letter issued on the 23rd of August is being issued to customers to comply with clause 3.11 of the consumer protection code. I have sent numerous emails to them querying this and pointing out the misleading nature of their correspondence and I have also brought it to the attention of the Central Bank who are supposed to be the regulators, not sure if they will follow it up. Not sure if it is sheer incompetence with KBC or if there is something else going on in relation to the sale of these loans as they appear to be trying to mislead consumers with the terminology they are useing.


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## Julia111 (20 Sep 2018)

A letter from KBC regarding this 'transfer' arrived this morning - it is regarding our BTL mortgage (we also have a mortgage on our primary residence with KBC.  We have a 5 year deal with KBC, which started May 2017 and this is being paid every month, however is interest only.  The BTL property is in negative equity but we have been renting it out and our tenant is just moving out, allowing us to raise the rent as rents have gone up.  Now we are wondering what usually happens with Pepper? Do they honor the agreements or will they look at everything afresh?


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## Julia111 (20 Sep 2018)

To follow on from my question, I guess we are just wondering what happens now?  To add to this we were actually just looking at the option of moving in to the rental house, and renting out our primary residence, ie swapping.  Some reasons for this include older kids have moved out so we don't need the space, rental house needs some work which we can not afford to do in one go but could have done over time while living there, smaller house = less bills, rental income from larger house would be more and allow us to start paying more to mortgage etc... We are now thinking that we have to stay put and keep everything status quo, do the smaller repairs that we can do right now and just rent the BTL out again as we don't know how these 'transfers' work and now we have 2 mortgage lenders? to deal with, negotiate with etc. I'm guessing it will not be possible to tell Pepper that we now want to live in the BTL house even if KBC agree to let us rent our house out...thanks for any thoughts


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## gahfan (20 Sep 2018)

Apparently they do have to honour your current agreement. Mine is up next year


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## Brendan Burgess (20 Sep 2018)

Julia

You should start a new thread to ask this interesting question and get some suggestions. Follow this format.

*Information required for mortgage arrears and negative equity questions*

Brendan


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## Julia111 (22 Sep 2018)

Thanks will do!


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## Julia111 (24 Sep 2018)

I haven't had time to do the case study yet but thought I would let you know what KBC told my husband on the phone this morning.  He told them that we were considering moving into the BTL and they said that if we do move in we need to let them know asap, write to them telling them it is now our home and include 2 utility bills so that it can be excluded from the sale in November. They also said that the current agreement would be honored. I plan to ring again tomorrow, confirming and asking a few more questions to see if I get the same answers.


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## Bronte (25 Sep 2018)

Julia you wouldn't want to rely on anything in a phone call.  You must have it in writing. 

But either way I don't see why you can't move into the BTL now.  You don't need permission for this and with the tenant's gone it's an ideal time.  Would this mean you could afford to pay capital as well as interest on the BTL loan?  You really ought to put up the figures on a separate thread.


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## Independent (11 Jan 2019)

My mortgage was sold. Family home. KBC classified it as a commercial loan even though it is and always was a mortgage on the family home.


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