In this instance would it be an all cash compensation?
Hi Brendan, was Karen happy with the way the FSPO dealt with her case. Did she(you) get to meet him face to face / did he look for further mediation to come to this decision. As you posted to balance fairness- Was Karen given the option of taking cash instead of the write down?
Have to agree. The more I think about it the more of a fudge it seems. Variable rates are pretty low and near to tracker rates now but there is still a difference. And over the lifetime of a mortgage that difference turns into a lot of money. Surely that was the whole point. I think the principal of reinstating the tracker is very important even if there was a compromise on what the rate should be. I would hope this will be resolved.Brendan, why did the FSPO decide that AIB had to pay Karen compensation for not offering her a tracker and then not say that Karen should be put on a tracker, it's a baffling decision to be honest.
I had previously calculated the amount I was overcharged and it works out as approximately 16% of the capital when I came off the fixed rate in 2011. I think the ombudsman has calculated the overcharge and broken it down into these two payments rather than the 12% and 4% being plucked out of the air. That's just what the overcharge works out as in Karen's case?Very interested to know how the 12% and 4% were arrived at if you’ve any insight on that?
Very interested to know how the 12% and 4% were arrived at if you’ve any insight on that?
Thanks very much Brendan and Karen and everyone else who played a part in getting this result. It is amazing to see AIB concede so much ground.It was a very long written decision which I hope he will publish soon and then you can see his rationale.
By the way, no one is obliged to accept this.
They can make their own case to the Ombudsman and argue why they should get a tracker.
And they can go to the High Court. In fact, I do hope that someone takes a case to the High Court. I suspect that AIB would settle it with a non-disclosure agreement.
Brendan
It is amazing to see AIB concede so much ground.
Brendan, once AIB action all the Ombudsman recommendations per mortgage, does that mean the mortgage holder loses the option of raising further issues with Ombudsman re an individual case? It just seems that there are points some people might want to pursue.
Perhaps it was the wrong word!! Maybe lose would be a better word but it was good if nothing else that we got an insight into what you and others went through.Hi Megafan
Is that a bad choice of words on your part?
They conceded nothing.
They have been dragged kicking and screaming on this issue for 5 years now. They conceded nothing.
They refused point blank that these customers were even impacted.
They refused to write to them telling them that they were not impacted.
They spoke down to me and Alan when we raised the issue over the last three AGMs.
They made a show of themselves in front of the Oireachtas Finance Committee defending the indefensible.
The Central Bank forced them to admit them to the Ombudsman and legal process.
The Appeals Panel cut and paste the AIB press release into their rejection of every appeal on the issue.
During the Ombudsman process they refused to mediate for settlement, but would only mediate "for clarification"
They robustly attacked every point made during the exchanges with the Ombudsman.
After the preliminary decision was issued and after they had announced that they were making a provision of €300m, they lodged a 10 page series of legal challenges to that preliminary decision.
They waited 35 days after the final decision was issued before they decided not to appeal to the High Court and concede defeat.
So that is all they conceded - defeat after years of conceding nothing else.
While at the same time claiming "We put the customer at the centre of everything".
Brendan
How will we know what we are exactly entitled to in regards redress and compensation
Thanks BrendanWhen AIB sends you a letter in July or August with a copy of their calculations.
In the meantime, you can work out the write-down. It will be 12% of the capital balance when you rolled off the fixed rate.
You could work out what interest you were charged on that since then, or else use my 4% of the capital balance figure as a very rough guide.
Brendan
BrilliantHi Megafan
Is that a bad choice of words on your part?
They conceded nothing.
They have been dragged kicking and screaming on this issue for 5 years now. They conceded nothing.
They refused point blank that these customers were even impacted.
They refused to write to them telling them that they were not impacted.
They spoke down to me and Alan when we raised the issue over the last three AGMs.
They made a laughing stock of themselves in front of the Oireachtas Finance Committee defending the indefensible.
The Central Bank forced them to admit them to the Ombudsman and legal process.
The Appeals Panel cut and paste the AIB press release into their rejection of every appeal on the issue.
During the Ombudsman process they refused to mediate for settlement, but would only mediate "for clarification"
They robustly attacked every point made during the exchanges with the Ombudsman.
After the preliminary decision was issued and after they had announced that they were making a provision of €300m, they lodged a 10 page series of legal challenges to that preliminary decision.
They waited 35 days after the final decision was issued before they decided not to appeal to the High Court and concede defeat.
So that is all they conceded - defeat after years of conceding nothing else.
While at the same time claiming "We put the customer at the centre of everything".
Brendan
The more I think about this I feel like we're only at the beginning!
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