AIB LTV

M

MauraS

Registered User
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We have a mortgage with AIB (LTV 50-80%) since May 2012 (original LTV 58%). The outstanding balance of our mortgage currently is approx. 48%. This does not even include any increase in house value which is a conservative 25% (Dublin city).
We got our mortgage through AIB mortgage bank and did not go through our local branch. I have contacted AIB mortgage bank numerous times over the last 18 months and each time they say we cannot reduce our LTV as the contract we signed states (LTV 50 - 80%). I just talk to anonymous people each time.
My question is at this late stage would it help to talk to our local branch manager about the issue who had nothing to do with the mortgage originally?

Thanks
 
MauraS,
From your thread I take it you want a reduction.
If so, approach other lenders and if they are interested , you can be sure AIB will reduce if pushed.
Why bother going back to AIB ?
 
Yes, I want to move to the lower rate (current rate 3.55% to 3.35%). 0.2% is better in my pocket than in the banks profitable pocket. I agree about switching but why do I have to move to another provider when the current AIB rate is competitive. To be honest the only alternative is to move to a 1 year fixed rate (3.5%) and then move back to a LTV after a year. But again, why all this hassle when the current LTV is automatically <50% based on the original house value and current balance on the mortgage.
I still feel it is very difficult to talk to someone in the AIB online mortgage bank as they are basically customer services.
 
Hi Maura

Ulster Bank is the only lender which allows borrowers to apply for a lower LTV mortgage based on repayments and an increase in value.

While AIB will not allow you to move from 3.55% to 3.35%, you should not switch lender as you will not be able to get a better deal. KBC is fractionally cheaper, but they are far worse than AIB in that, even if they reduce rates for new business, they don't pass them on to existing customers.

You could certainly threaten to move, but I doubt if that would influence AIB.

Brendan
 
Hi Brendan,
Thanks for the reply. I was not aware of Ulster Banks logical thinking. Completely agree about the dangers of moving to another institution and also agree that threatening to leave will probably fall on very deaf ears. Will continue to campaign and contact AIB.
A miracle might happen
 
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