AIB Aib ex staff - getting €1,650 compensation

Well for me I just find that I thought staff mortgages where always on the best rate as indicated previously by them. I know some kind of communication went out to say it was up to yourself, but yet the whole thing is so confusing. We got off the fixed rate( not a fixed rate)by them without breakage cost yet in the Terms and conditions we should have had breakage costs.
My situation is I was on Staff fixed rate from the start( apparently not fixed, yet the contract calls it fixed) and they changed my rate to variable to benefit me. In 2010-2012 it was then up to yourself to change the rate to the fixed rate that has got people the refunds, I never went on the fixed rate that all the people from the 1650 scenario got the payout. Yet at this time my loan was on interest only, if I knew there was a better rate course I would have been on it, I couldn’t pay my mortgage at the time, anything would have helped me. After coming off a fixed rate & not incurring a breakage cost, to go back on fixed again & thinking you may have breakage costs say if a lower rate became available may have deterred me from opting for this.
I’m just wondering is it a closed case now for staff and what do people think.
@brendan, do you think it is worth appealing or is Zoltan points above 1-4 the final answer.
 
Brendan, with regards to the issue of BIK and AIB stating that the staff preferential rate loan is not fixed but in fact variable, I have researched the criteria for provision of a preferential rate loan to a staff member and same states that the loan must be a fixed rate along with having to be for the purchase of a residence and for a stated number of years. Will this help us with our case do you think? I have noted same on the revenue website - link below.

Preferential loans

A preferential loan is a loan made by you to your employee or former employee, or their spouse.
www.revenue.ie www.revenue.ie
 
Track2019 said:
, I have researched the criteria for provision of a preferential rate loan to a staff member and same states that the loan must be a fixed rate along with having to be for the purchase of a residence and for a stated number of years
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What document are you referring to?

I have looked at the link you provided and I don't see any mention of a fixed rate on it.

Brendan
 
4775
 
That is a very confusing page.

As I read it, and I might be wrong, if an employer provides a loan at the "arm's length rate" , it is not a preferential loan.

AIB has never claimed that the Staff Preferential Rate loan was an arm's length loan.

Brendan
 
Brendan Burgess said:
What document are you referring to?

I have looked at the link you provided and I don't see any mention of a fixed rate on it.

Brendan
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Well the specified rate by revenue is 4% so then the “arms length rate“ which must be lower than the specified rate here is 3% but they are saying it must be fixed. It’s all too confusing , and as someone above said if there is confusion with a contract and it goes to the ombudsman the customer wins.
 
Zero123 said:
as someone above said if there is confusion with a contract and it goes to the ombudsman the customer wins.
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If someone said that , they are wrong.

If there is confusion in a contract, the principle of contra proferentem applies. That clause is interpreted in the complainant's favour.

But the Ombudsman makes his decision on all the factors and not just the interpretation of one part of it.

Brendan
 
Sounds like a simple matter of interpretation for the Ombudsman or better, a high court judge.
 
Brendan Burgess said:
If someone said that , they are wrong.

If there is confusion in a contract, the principle of contra proferentem applies. That clause is interpreted in the complainant's favour.

But the Ombudsman makes his decision on all the factors and not just the interpretation of one part of it.

Brendan
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Thanks, I could understand that. Do you think staff have a case and it’s worth appealing or would you think that it is a closed subject and plenty of staff probably have appealed at this point.
 
There are some complaints to the Ombudsman in the system.

It would be no harm if there were a few more.

Brendan
 
One would imagine it could not be any clearer .The wording clearly states if you leave the bank before voluntarily before retirement your Staff Fixed Rate Preferential Rate will no longer apply". It quiet clearly states that it is fixed...however it now suits AIB to say it's a static rate , no where in our letter of offer is the word static used!.
They must think we are a pack of idiots!
 
Yes they must think that we are complete idiots alright. They describe the staff rate as a "static" rate that "does not vary" ..... It is clear that both of these descriptions of the rate indicate that it is a fixed rate ..... #thesaurus #synonym... Fixed = invariable = static!
 
Staff need to make each other aware of this and start appealing, as Brendan said above it would be no harm to have a few more.
 
I just looked up FPSO Website regarding complaints and the website advises they will assist with complaints that are open more than 40 working days which mine is .
I have now sent an email to start the process . I think we all need to be doing this if we want to be heard . Time to stand up for ourselves!
 
I'm just wondering if you think AIB will take into consideration BIK paid on a staff preferential rate when calculating write down/interest refund or is it even relevant?
 
Track2019 said:
I'm just wondering if you think AIB will take into consideration BIK paid on a staff preferential rate w
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The Staff Preferential Rate customers have been denied redress by AIB. So the issue does not arise until one of them wins a case with the Ombudsman or the High Court.

Brendan
 
Brendan Burgess said:
The Staff Preferential Rate customers have been denied redress by AIB. So the issue does not arise until one of them wins a case with the Ombudsman or the High Court.

Brendan
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Hi Brendan

I had a staff preferential rate loan at various stages over the last 14 years, also fixed for 2 years from 2010-2012 and have clause 3.2 in my contract. Out mortgage has been written down and I'm awaiting the interest refund cheque so I would have been paying BIK At various times throughout the years.
 
Hi,
Just wondering
if there is any idea of a timeframe for decision on these staff/ex staff cases that are already with the fspo? I too got the generic responses from bank re:it not being a fixed rate but ‘variable annuity’.

Also, re clause 3.2 - I have seen the various arguments posted re responses on this and how the loan was not fixed so it doesn’t apply. I have failed to get answers to the following so wondering if anyone else in the same boat has managed to get a response re:
* Why was this clause included in our terms & conditions if the loan was not a fixed rate loan & therefore it did not apply
* If it was included in error then surely we still have a case that this clause should apply exactly as it does for the non staff fixed group currently being compensated as it was included as part of our contract and the error was on the part of the bank?
* If these were the completely wrong ts&cs given to us for this staff ‘variable annuity’ loan, did separate Tcs &cs exist for our loan type? (Even on this point if the error was on the part of the bank in providing some staff with the wrong Ts &cs then surely they should still be honoured given they were the only ones we received?)
 
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