Finance Ireland launches new range of mortgage products

Brendan Burgess

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Finace Ireland's main selling point is the fact that it is promising gradually lower rates over the lifetime of a mortgage, as a customer's loan value becomes smaller and smaller in comparison to the value of the home.

All the lenders other than ptsb do this already.
 
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RedOnion

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But they are not cheap.
The rates being quoted in press are a lot lower than their website (which hasn't changed from the old Pepper rates)

"
Finance Ireland's variable rate interest starts at 2.75pc for customers with less than 50pc LTV, rising to 3.15pc for 90pc or more LTV.

Fixed rates start from 2.55pc (3 years up to 60pc LTV)"


https://m.independent.ie/business/personal-finance/property-mortgages/finance-irelands-home-run-lender-targets-mortgages-37927004.html
 

Brendan Burgess

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Ah, thanks. That makes sense. Here is their new rate card which appears to be for people with good credit rating. They have separate rates for non-prime customers.

upload_2019-3-19_8-42-11.png
 

Brendan Burgess

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Here is how they fit into the <90% LTV Best Buys Table

upload_2019-3-19_8-54-31.png

The only reason you would go with them is if you were refused by all of the other lenders. Or am I missing something?

Brendan
 

Thomas1

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It might be enough to retain existing customers that would otherwise just have been waiting to switch if only Pepper would do their mortgage originally.
 
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RedOnion

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The only reason you would go with them is if you were refused by all of the other lenders. Or am I missing something?
First, I think it's interesting that in most cases where they have a rate, they're matching the best rate in market (ignoring cashback for switching). Both variable and fixed rates - some banks might need to reword their advertising.

Secondly, this is a broker only offering. If they can turn around applications quicker than the banks, I can see it being a strong offering in the market.

Personally, I'm surprised at how competitive it is. They're definitely here to compete. I must read their variable rate statement since they've exactly matches AIB.
 
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RedOnion

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I can't seem to find it on their site - do they allow overpayments in their fixed products?
I assume you mean overpayment before applying a break fee?

There's not much on their website. I was interested in this aspect of it too, but they just say details of fees payable for early repayment are detailed in letter of offer / mortgage contract.
 

misemoi

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If they match the UB fixed payment offering of 10% per year before break fee, I'd seriously consider them. Did they take over the Pepper back office or are they starting afresh?
 

RedOnion

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2.4% for 5 year fixed on LTV <50%.
I know the reductions are small, but good to see competition.

For <50% LTV, they've undercut UBs 'Ireland's lowest 4 & 7 year' rates, and UB have qualified their print ads that they're best for >60% LTV.

They're keeping the marketing departments of other banks busy at least by making sure they've matched all the best rates for lowest LTV bands.
 

pguyo

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ICS are ready to launch into the residential mortgage market within 3 weeks according to a broker i spoke with today. Good to see more competition.
They have already announced but they are not allowing me an existing residential customer to switch to their new fixed rate.....some joke.
 
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