# Port Ulster tracker to new property - but still in fixed rate



## rrooney (8 Mar 2013)

Hi, I purchased a home in 2008 with a mortgage from First Active that was on a fixed rate of 5.65% for the first 5 years. I have had my house up for sale for about 2 years as the location is now very unsuitable for me and my son and have recently got a very good offer which i have accepted. When i requested redemption figures from Ulster Bank they had added early repayment charges of €5k onto the negative equity element of €4k to redeem the mortgage. My fixed rate term is due to expire in Oct 2013 and i am then due to go onto a tracker rate of 2.9%. I have been in contact with Ulster Bank a number of times in the last few weeks about transferring (or porting) my tracker mortgage onto a new property and i seem to be getting a different story from each person i speak to so i am now very confused and would like to check what i can do.


First of all i was told by the mortgage adviser in one branch that once i paid the negative equity of €4k that i could transfer the full amount of €160k onto a new property and that i would then not be charged the early breakage fees of €5k and that the bank would do 100% loan to value so it did not matter if the new property i was buying was only worth €160k and i had no savings.


I completed the mortgage application and gave them all my documentation and a few days later got a call from the mortgage adviser to say he was wrong they would only do a max of 90% loan to value and that they could not transfer the mortgage until i go onto the tracker rate after Oct 13 (by which time i will have lost the sale on my house).


I was then dealing with the branch manager in another branch who told me i could pay the breakage fee and revert to tracker now and then would be able to complete the transfer at 90% LTV (my mother said she could loan me the 10% difference and if my mortgage is on a tracker rate i would be able to afford to pay her back monthly), so again i filled in all the forms etc and was told all should be fine. Then i got an email yesterday to say that if i paid the breakage fee my mortgage would go onto a standard rate variable and NOT a tracker rate. I got a copy of the original loan offer from First Active this morning and there is no clause in the offer that says if i break the fixed term i revert to variable, the offer just states the fixed rate and the tracker of ECB +2.15% thereafter.


Obviously i was a bit confused then how they could tell me i will have to go onto a SVR so i emailed the loan offer onto the branch manager i have been dealing with but got a reply that he is out of the office so i then rang the main Ulster Bank mortgage helpline and after giving my mortgage account number and explaining my query i was told that if i pay the breakage fee my mortgage will revert to tracker and not SVR and that i could then transfer my tracker mortgage onto the new property. When i asked could i get this in writing i was just told 'no'.

I dont know what to do now as each person i talk to is telling me different things and if i cant bring the tracker rate with me then i cant really afford to go ahead and sell my house and need to sign the contracts for the sale very soon. I am afraid that Ulster Bank will take the breakage fee of €5k, let me sell my home and redeem the mortgage and pay them the negative equity of €4k and then will only give me a new mortgage on SVR not tracker in which case i will not be able to pay back the 10% difference and also would not be able to afford to pay rent and the loan for breakage fees, negative equity and estate agents fees etc so i could then end up with nowhere to live 


Has anyone else had any experience with this or been able to transfer their tracker mortgage?


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## Brendan Burgess (8 Mar 2013)

This is very difficult and you need to be very careful. 

In general, if you break out of a fixed rate, you sign a new contract, and that would be at the Standard Variable Rate. So you absolutely cannot do this, unless you get a letter from them confirming clearly that you have the right to keep the tracker. I don't think you will be able to get this, so you have to wait until Sept 2013. 

I don't think that UB is doing 100% LTV. It would make very little sense for them to do so.


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## rrooney (8 Mar 2013)

Thanks Brendan, i am ok with the 90% LTV just cant afford to lose my tracker rate too. I will ask for a letter confirming that i can keep the tracker but like you said it doesn't seem like the bank will give me this and the offer to buy my house will be long gone by Sept 2013 so seems like its either lose the offer or lose the tracker rate.


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## Brendan Burgess (8 Mar 2013)

> i then rang the main Ulster Bank mortgage helpline and after giving my mortgage account number and explaining my query i was told that if i pay the breakage fee my mortgage will revert to tracker and not SVR and that i could then transfer my tracker mortgage onto the new property. When i asked could i get this in writing i was just told 'no'.



Did you get the name of the person to whom you spoke? 

If so, you should write them a letter to confirm the contents of your discussion and request them to confirm it in writing. 

Or you may ask your solicitor to write to the bank to confirm this. 

Brendan


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## PadKiss (29 Mar 2013)

Hi rrooney sorry for commenting so late on your thread but it is/was/ changes every week possible to port your mortgage with Ulster Bank. One of my clients recently had it done and maintained their tracker rate, not sure of the situation re fix terms but if you wish i will gladly lend a hand in helping you. it is important that the person you are dealing with is at a level of authority that can give the correct information. my contact information is info@kissanefs.com good luck Padraic


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## rrooney (10 Apr 2013)

Hi Padraic, thanks for coming back to me. My position now is that i paid the breakage fees to revert to tracker about three weeks ago and last week i got an email to say they have approved the tracker porting but now have to approve me for affordability, as my new mortgage will be less than the mortgage i currently have i wouldn't think this should be a problem but for the last week the bank manager is ignoring all my calls and emails and wont reply to anything. The purchasers of my house are now forcing the issue and have demanded a closing date or they will pull out of the sale however i'm stuck now as long as the bank keep ignoring me and wont give me an answer. I was told originally that it would take 2 - 3 weeks for me to get a final loan offer and it has been over 3 weeks since i paid the breakage fee and they have not even requested the bank valuation yet!! I don't know what could be taking them so long as they have all my information and i am a current customer.


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