FAQ What are the criteria for qualifying for the Prevailing Rate redress?

M

Mark M

Registered User
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Hi Brendan

I have contacted AIB in the past & they have told me that i'm not eligible for any redress, I have never received a letter or the €1,615 compensation. I was never on a tracker mortgage my initial drawdown was in January 2007 when I was offered a tracker but I opted for a 3 year fixed mortgage. When I came off the 3 year fixed rate in January 2010 I was not offered a tracker, could I be eligible or is this just wishful thinking on my behalf?

Thanks
Mark
 
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To qualify, you must have a specific Clause 3.2 in your contract.

3.2 FURTHER FIXED INTEREST RATE OPTIONS/CHOICE

At the end of any fixed interest rate period, the Customer may choose between:
(a) a further fixed interest rate period, or

(b) conversion to a variable interest rate Mortgage Loan, or

(c) conversion to a tracker interest rate Mortgage Loan,

at the Bank's then prevailing rates appropriate to the Mortgage Loan. If the Customer does not exercise this choice, then the Mortgage Loan will automatically convert to a variable interest rate Mortgage Loan.

So you have to meet all of the qualifying criteria
1) You had Clause 3.2 in your contract
2) You were on a fixed rate which expired after October 2008
3) They did not offer you a tracker rate.


If you do not have this clause, you are not covered.

Mark M said:
January 2007 when I was offered a tracker but I opted for a 3 year fixed mortgage.
Click to expand...

It does surprise me that you do not have this clause in your contract.

But I doubt you had if AIB told you that you hadn't.

However, you should double check.

Brendan
 
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Hi Brendan,
Took out mortgage with AIB in 2006, started with 3 year fixed, in 2009 we were moved on to the prevailing variable rate without being given the choice of a tracker. Obviously in hindsight we should have been more tuned in ourselves but I would have thought the bank should have given us our options.
Based on what you say here am I right in saying that unless there is a specific mention in our contract of a tracker option after the fixed period, then we have no case?
 
Because we moved house I don't have access to the docs I got from AIB.
Is it possible that I got compensation from Aib and don't qualify?

Apologies and once again, thank you!!!
 
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Shay75 said:
Is it possible that I got compensation from Aib and don't qualify?
Click to expand...

It is possible that they made an error in giving you the €1,615, although you were not entitled to it. Now that would be a "service failure"!

I think it is highly unlikely though. They would have checked these in great detail and were probably more likely to miss a few than to include a few who were not entitled to it.

If you don't have access to your documents, you can ask your solicitor or AIB for them.

But to be honest, I think you should just wait for AIB to write to you. If they don't write to you by the end of August, then you should contact them.

Brendan
 
Hi Brendan,
I received the €1615 in 2017. I came off a fixed rate in 2010 and I think I was offered a tracker which was ECB plus 7%. Does that mean I will not qualify for redress?

Thanks for all your hard work!
PT
 
PT5353 said:
I came off a fixed rate in 2010 and I think I was offered a tracker which was ECB plus 7%
Click to expand...

I doubt that you were. They were not offering trackers in 2010.

If you had been, they would not have paid you the €1,615

You need to check the details to verify what exactly happened.

Brendan
 
Brendan Burgess said:
I doubt that you were. They were not offering trackers in 2010.

If you had been, they would not have paid you the €1,615

You need to check the details to verify what exactly happened.

Brendan
Click to expand...
I am probably mistaken about the tracker so. Does the fact that I received the 1615 mean that I am likely to be in the redress scheme?

Regards,
PT
 
Brendan Burgess said:
Correct
Click to expand...
Thanks Brendan,
That clears up something I had wondered about for a long time.
I would have thought that in 09 we should have had the option of a tracker but just looking through the contract this morning there is no mention of the word 'tracker'. I suppose we needed to be more clued in when taking out the mortgage in 06, we thought we were doing well getting a decent fixed rate for 3 years but didnt think about what would happen when that finished.
Thanks for your answer and for clearing that up.
 
Not sure if this is of relevance but I got a letter from AIB recently on 13th March saying there was this case being held so I presume everyone in the cohort would have received this. I even rung today the number on the letter and she said to look on social media for askaboutmoney and there would be more information
 
Brendan she actually did. I was trying not to laugh down the phone. She said to look at up and it will give me an idea of any redress. She said to call back then if I have any queries or questions after visiting the page.
 
I think we should charge AIB for providing this public service.

It was funny for you who is familiar with Askaboutmoney.

But could you imagine an ordinary punter that is not aware of it?

Brendan
 
She said there was a particular case that was ruled in favour of redress and that the bank have decided to offer the same level of redress to all in the cohort. She also went as far as to say that management hasn't decided about reinstating trackers, or if they have they haven't told her yet
 
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