Letter re TRS from PTSb with cheque

[thedaras]

Did anyone on AAM recieve a letter from PTSB which says:

"PTSB has identified an incident where the TRS deduction was overstated on the monthly repayments on your account.

This means that the monthly repayment that we requested from you over the period was lower than it should have been.As a result,your mortgage account was under billed and the principal balance outstanding was not reduced by this amount.
Due to the higher principal balance on your account the interest charged over the period was higher that it should have been.The amount of interest overcharged is X amount.
We are now enclosing a bank draft for the above amount.We have notified the Revenue Commissioners of this calculation error".


Does anyone know in plain English what this means?
Are there any repercussions for us?
Do we send the amount to the Revenue?

 

[STEINER]

I got a similar letter without a cheque. Perhaps your cheque was large, my interest overcharge was only €12. Some other posters mention it in this post.


http://www.askaboutmoney.com/showthread.php?t=164502&page=7&highlight=PTSB

 

[jamie79]

TRS Letter

I spoke to PTSB about this and I understood their explanation as follows (numbers used below are for explanation, i.e. they're not real):

My monthly repayment was €1200.
I was entitled to €180 tax relief.
PTSB overstated my tax relief as €200.
They collected €1000 from me, but only €180 from the Government.

They should have been requesting €1020 from me.

As a result, only €1180 was being paid off my mortgage.

They have been doing this for 5 years.

As a result the mortgage has been underpaid by 5 (years) x 12 (months) x €20 (amount that's missing) = €1200

As the interest I pay on my mortgage is calculated based on the principle amount still owed to the bank, it was always higher than it should have been due to their mistake. As a result, I was overcharged interest.

In plain English, the letter that they sent explains that they are writing off the €1200 that was underpaid and they are refunding the interest that was overcharged.

It also says that going forward they will be applying the correct TRS amount, so you might see a change in your future payments.

Clear as mud?