Key Post The 300 Cohort - traded up, tracker retention issues

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Bobby25

Registered User
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Hi all,

Has any one heard back from aib regarding the tracker retention form. Part of the 300 group closed old mortgage account in March 2017 took out new mortgage same month again with aib. They contacted us at the start of November regarding the new mortgage account by telephone stating that if we return the form they can issue compensation and redress on the new account as the interest rate would of being different and it will back dated to March 2017. No response from them as of yet. Any similar cases to this.

thanks in advance
 
Bobby25 said:
Hi all,

Has any one heard back from aib regarding the tracker retention form. Part of the 300 group closed old mortgage account in March 2017 took out new mortgage same month again with aib. They contacted us at the start of November regarding the new mortgage account by telephone stating that if we return the form they can issue compensation and redress on the new account as the interest rate would of being different and it will back dated to March 2017. No response from them as of yet. Any similar cases to this.

thanks in advance
Click to expand...

yes. Our new mortgage is now on tracker retention. Although yet to receive anything in writing from them confirming rate actually applied and from what date they did confirm over the phone.

I was informed previously that they hoped to have final resolution on these retention cases including refund of interest overpaid and compensation by Dec 14th.

given how everything has gone so far in terms of correspondence and deadlines not met I expect this to drag into the new year.

a letter received last week indicated they have not yet managed to resolve it and will continue to update me at least every 28 days.
 
Thanks very much for the feedback very similar situation to ourselves so I was under the impression in early November after the phone conversation they wanted to finalise these cases swiftly. Obviously not wishful thinking on my behalf will wait till the end of this week before contacting them again.
 
Bobby25 said:
Thanks very much for the feedback very similar situation to ourselves so I was under the impression in early November after the phone conversation they wanted to finalise these cases swiftly. Obviously not wishful thinking on my behalf will wait till the end of this week before contacting them again.
Click to expand...

conversation today with helpline indicated that resolution letters aiming to be sent out in Friday’s post. She stressed the word ‘aiming’. They havnt met any deadlines to date.

Complaints are dealt with separately so this is just for tracker redress and compensation on ‘new mortgages’- ones put back onto mover tracker rate
 
Got letter and Cheque today for our mover tracker account redress and to say I am disappointed is an understatement. No redress on this account as they argue we received higher amount under Fspo ruling for our original mortgage than TME review for both our old and new mortgage. They have treated the two issues as one and used the Fspo ruling to avoid paying extra redress and compensation on those who were denied a mover tracker and subsequently paid over the odds

I would have received the same FSPO payment if I had not moved properties.

I have overpaid now on my new property a d they seem to think it’s ok to lump it into the payment for my mortgage?

to me that’s like saying you don’t get compensated for a second accident because the first one was deemed higher than it probably should have been?
 
OK guys, I had a look at one of these cases and I agree with AIB's approach.

While they explain it in a convoluted manner, this is what they did.

1) Calculate the total benefit payable under the Ombudsman's 12% write down + interest : €60,000
The interest was calculated up until the date the borrower traded up which was about 4 years ago.

2) Calculate the total benefit payable under the Central Bank Scheme

Account 1 up until the trade up @ 1.71%
  1. Interest overcharged
  2. Time Value of Money on this
  3. 15% Compensation on (1 +2)
  4. = Total Central Bank Scheme benefit: €50,000
Account 2 New mortgage at rate of 2.71%
  1. Interest overcharged
  2. Time Value of Money on this
  3. 15% Compensation on (1 +2)
  4. = Total Central Bank Scheme benefit Account 2: € 8,000
As the €60,000 payable under the Ombudsman's Scheme is higher than the combined Central Bank Scheme, they paid the Ombudsman's Scheme.

In addition
The borrower got a further €1,230 to pay for professional advice on Account 2 - which he doesn't need. So, he got €61,230
The borrower has a tracker rate of ECB +2.71%

This seems right to me.

Brendan
 
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