KBC KBC told brokers" all fixed rate loans will roll onto trackers on expiry"

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PJDCol said:
Doesn't seem to be anything from their Q2 results today either.
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Nothing specific - but they do have a warning in their report that "regulatory issues may cause adverse cost" or something similar - this probably covers them for investors without giving any information.
 
From indo today

The probe includes an examination of whether customers of Irish banks were wrongly denied trackers. Deloitte has been appointed as an independent third party to make sure KBC's review complies with Central Bank requirements.

"We are meeting the timelines that the Central Bank has set out for this review, which is a phased review. I wouldn't want to pre-empt any of the findings or the conclusions before the entire process has been concluded, just to say that we're fully co-operating with the Central Bank and their agents in completing this process as speedily as possible. We will make sure that customers are treated fairly."

Last line is quite laughable.
 
It does not bode well that the KBC Ireland CEO did not refer to any provision during the week for tracker redress costs.KBC have about 12 percent of the home loan market and on this basis it would seem a material provision should have been referenced if KBC intend to redress matters.
 
Sligolive said:
It does not bode well that the KBC Ireland CEO did not refer to any provision during the week for tracker redress costs.KBC have about 12 percent of the home loan market and on this basis it would seem a material provision should have been referenced if KBC intend to redress matters.
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You are only talking about the trackers that moved to fixed in a circa 12 month period. At a guess it is about 2,000.

In terms of overall size of KBC, I would guess it would not materially affect their financial results and therefore would not require specific mention in their accounts.
 
What is the 12 month period in question?

peemac said:
You are only talking about the trackers that moved to fixed in a circa 12 month period. At a guess it is about 2,000.

In terms of overall size of KBC, I would guess it would not materially affect their financial results and therefore would not require specific mention in their accounts.
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DamC82 said:
What is the 12 month period in question?
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Looking at the posts here, it seems that most issues are from those who fixed in 2006 - this is when there were several rate increases and 3 year fixed rates were very similar to the tracker rate people were paying.

You'd wonder if the fixed rates were priced to entice people to move away from their trackers at that time?
 
peemac said:
Looking at the posts here, it seems that most issues are from those who fixed in 2006 - this is when there were several rate increases and 3 year fixed rates were very similar to the tracker rate people were paying.

You'd wonder if the fixed rates were priced to entice people to move away from their trackers at that time?
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Can only speak for my own situation regarding fixing but as interest rates were flying up from dec 05 to June 06 & I was on rolling contracts in work this is what made want to fix. As the tracker was for the life og the mortgage, written in the contract, confirmed by bank and broker it seemed a sensible thing to do. & of the two year fixed period it ended up taking 18 months to benefit from the fixed rate. But certainly the bank benefited until then & they weren't discouraging about fixing initially again saying the tracker would be returned at the end of the fixed period
 
They have been cocky from the start and even now there cockiness is still there, it certainly isn't a good sign
 
It is interesting that the KBC are releasing statements regarding their impending decision to either stay or leave the Irish market. No doubt the Central Bank wants competition in the market and KBC will use the threat of leaving the market to influence the Central Bank not to get overly assertive regarding required KBC tracker remediation actions.
 
In having no provision made for redress, how can they be so sure of the outcome at this early stage with less than half of the review complete !?

Is it a case that there are a small number of recurring scenarios running through all the 2000 cases reviewed, which were identified early………………, and someone has given the nod and said “prevailing rate” or “SVR” on documentation is sufficient in terms of transparency ……..


How is it any different to previous FSO cases (which looked at exact same cases) , we know how most of those appeals went………
 
I think the difference with this review is that transparency of communications with the consumer is being particularly considered. In my opinion, FSO tracker reviews to date focussed on contractual matters only and did not substantially consider consumer protection code principles.On this basis, the current review is promising.
 
I have today seen my first face to face positive story with all this tracker investigation. A friend of mine, unfortunately who is with AIB and not KBC, was this month put back on a tracker mortgage and was advised in due course if she will receive any compensation.

I found it interesting because unlike some of us who has been chasing this for years to be returned to a tracker, this person was actually never on a tracker but was now moved to one for the simple reason she wasn't offered one when she fixed back in 2006. She hadn't even been following the recent news feeds on this and could not believe when she saw the mortgage payment this month.

I wonder does this set a precedent for all the people in the CB review. I never thought it would be as simple as just because she wasn't offered the tracker, never mind been removed from them. Still playing the waiting game with KBC.
 
I sent in a query to KBC regarding the lack of provision in their Q2 figures for the tracker enquiry ....

Came back to me quickly enough Stating that they didnt make any provision in Q2 as they are still progressing through review as per timings and phasings set out by CB, and they dont want to preempt any findings of the review until it is completed .

Something back from them at least .
 
It has all gone very quiet on the kbc tracker front.......the calm before the storm? I wonder will all customers who had their cases reviewed by kbc in recent exercise hear the outcome in early October.
 
They have been last to react to everything so far, last to publically admit they were part of review, so hoping they are simply complying with the timelines and not a minute sooner . We all are waiting to hear the first trickle of correspondence back, october is looming, would be really nice to hear something positive back from someone ....
 
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