AIB Good news if your AIB Fixed rate ended between 10 October 2008 and 12 January 2009

Brendan Burgess said:
Hi Sambo

They should put you back in the position you would have been in had you been offered the tracker.

So they will refund you the interest overcharge and pay you the compensation.

They should offer to take you back from the other lender at the current level. So if you have €300k they will just switch this amount - assuming you did not trade up or borrow more when you switched.

Brendan
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Thanks Brendan - so you think they will still refund the capital write off by cheque and just take the mortgage back on tracker rates at the exact same balance as currently is?

I imagine the issue will be around legal fees we will have to re incur and also we will need to look into whether we will need to pay back the 2pc cash bonus we got from the new bank as part of the transfer deal !

Think I will just have to wait for the letter and see what options are !

thanks for update Brendan
 
Sambo123 said:
Thanks Brendan - so you think they will still refund the capital write off by cheque and just take the mortgage back on tracker rates at the exact same balance as currently is?
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Let's think this through

If you had been on a tracker, you would have a mortgage balance today of €300k. But you have been on an SVR and moved to Bank of Ireland and your balance is €340k.

I think that they will refund you all the money, but offer you a tracker mortgage of €300k. So you will have to use €40k of your refund to pay off BoI.

They will pay your legal fees, but, yest, they should adjust for the cash back as well.

Brendan
 
Brendan Burgess said:
Let's think this through

If you had been on a tracker, you would have a mortgage balance today of €300k. But you have been on an SVR and moved to Bank of Ireland and your balance is €340k.

I think that they will refund you all the money, but offer you a tracker mortgage of €300k. So you will have to use €40k of your refund to pay off BoI.

They will pay your legal fees, but, yest, they should adjust for the cash back as well.

Brendan
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Yes Brendan - agree with your thoughts - will let this post know when I get letter.
Thanks
 
This is Sparta!

So, I got onto AIB today and yes, I'm one of the 300 :)

I'm so happy, this is life changing for me and my family.

Brendan Burgess said:
You are correct! :)

How do lenders calculate cost of breaking a fixed rate?

hi there i have a 3 yr fixed mortgage with AIB .we are only in year 1 of this agreement. with ECB cutting rates today and going to cut further what can i do here? if i pull out of the agreement here, will there be a penalty? what are the chances of my current bank offering me better rates to...
askaboutmoney.com

Great to see you included in the 300 cohort. You could write your own book on the issue.

You envied people who were on trackers back in 2008

A.I.B.'s Variable Rate

Anyone know what it is going to be after the latest interest rate cuts? AIB said yesterday that they would be passing the -.75% rate in full to its customers. Many thanks.
askaboutmoney.com

Brendan
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Yes, crazy right, shows how long this has been going on! But well worth the battle in the end.

Thanks again for your help Brendan and this great site, I really don't think most of us would have had this success if it wasn't for all the priceless help we have received here over the years. :)
 
Hi All...following this discussion with interest and i'm just wondering about people who took out a mortgage between the dates in question. Is it a case that they too should have been offered a tracker mortgage given that they had the clause their contracts? Surely if there's uncertainty about when the tracker mortgage was withdrawn, those people drawing down their mortgages at that time should have got the benefit of a tracker?
 
Hi
Just got off the phone to the help line this morning and found out my account was in the 300 rolled of a fixed rate nov 2008. Initially the girl didn’t seem sure of the time frame and told me I wasn’t in the group just part of the 5900. I asked her to double check this as I believed I met the criteria. So happy to have this confirmed can’t thank you enough Brendan for all your work on this.
 
Likewise, just off the phone with the helpline and I am in the 300 as well.

I remember we borrowed the break fee of 700e back in the day after only fixing 12 months previously and were wondering was it worth it.

We are looking at knocking the bones of 10 years off our mortgage by keeping our repayments at the current levels.

I'm not over egging it by saying we will have a far more comfortable retirement as a result of Brendan's efforts
 
Who compiled this history of engagements / communication for you ? Was it aib themselves ? If u don't mind me asking!
 
If that question is for me then the answer is I knew all this information before I contacted them but they repeated back to me all the details un prompted.

I gave my account number and the guy rattled off the details
 
Brianios said:
Also - has anyone in the 300 cohort been given a capital reduction yet no?
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I was told it would be October before the calculations would be done.

At that point the greater value for the customer would apply. I.e whatever value was higher, the 12% + 12% or traditional tracker redress
 
I think AIB have left themselves wide open now for the rest of the cohort to appeal. The cut off date is tantamount to discrimination it's not written anywhere and was defined after the fact. Either there was or wasn't tracker rate available after October 10th 2008 this just enhances our case for one.
 
So. I rang the helpline number and I’m in the 300 cohort. But because I have sold the affected property and cleared the mortgage, I will get the “majority” of the calculated amount by the end of August and then the balance in October.
 
We did interest only from Dec 2006-Dec 2008 and then fixed for 1 year till Dec 2009 so presume we are not part of the 300. When I rang other day he said that our file under review and once I received cheque then we are one of 5900 but as our mortgage is closed since 2014. It is a bit more confusing but should hear by end of August.
 
Cars510 said:
We did interest only from Dec 2006-Dec 2008
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The interest only bit is not relevant.

If you were on a two year fixed rate during that period, then you are in the 300.

In Dec 2006, it would be unusual to take out an SVR when trackers were available. So are you sure you weren't on a fixed rate in that period?

Brendan
 
Brendan Burgess said:
The interest only bit is not relevant.

If you were on a two year fixed rate during that period, then you are in the 300.

In Dec 2006, it would be unusual to take out an SVR when trackers were available. So are you sure you weren't on a fixed rate in that period?

Brendan
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No we only purchased in Dec 2006 and decided based on repayments- we would do interest only payment for 2 yrs to get us on our feet.
 
How many of these 300 have no idea this windfall is coming their way!!! Can you imaging the (unreal) shock you’d get. Literally like having a ticket to a lotto syndicate win. I’m delighted for ye...slightly green with envy, not gonna lie...but great to see the small guy win.
 
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