Keeping your offset mortgage with Danske Bank

Orbitman

Registered User
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2
Anyone hear anything on this?
Have our accounts with them for 12 years now and an offset mortgage since 2005.
I am self employed so all my money goes in to my account and I pay my VAT and Returns out of that, so by the 3rd quarter I have a good chunk of money to offset.
Also we moved our money out of a savings account and into my wifes.
So currently we have 37% of the value of the mortgage in our accounts and back in October that was at 46%.

It will be a massive loss for us in this regard.

Have heard nothing at all from them.





Have Offset Mortgage with Danske , which have made big savings on and the offset arrangement was the major selling point that they pushed when I took out the mortgage. Have not heard anything from them yet but in the mortgage documentation/agreement that they sent me when I took out the mortgage it states ' we will ensure when removing an account from the offset portfolio... that the account is not the last mortgage account or linked account causing an unwanted termination of the offset portfolio.'...So cannot see how they could not continue to ensure that the offset arrangement is continued.
 
Lads
I have been in contact with Padraic Kissane Financial Services, I think I have seen his name on here and I was referred by a friend who used him to get back her Ulster Bank tracker.

Padraic is currently contacting Danske about this.
The more people who contact him on this the more numbers we will have so if you want to group us all together I think he may become the point of contact and seems to have a good record.

No association with Padraic, just recommending someone who might be able to get some results on this.
 
Hi all
By means of updating you all I have today spoken to Danske and set out the basis of complaint in detail and informed them that i need to have this addressed at the highest level. I have been told that someone in their Credit committee will come back to me but there is a 48 hour response time with that department (go figure) but I have had it marked urgent as I attempted to express the dismay that customers are having at present. I informed them that I initially wish to have confirmed the full basis of their offer (1% Reduction) and the disparity of this offer in terms of the time frame of this reduction and how long it may last or be worthwhile if the SVR is increased. Also expressed was the confusion by what their web site is saying on the matter of mortgages in general, they state the terms and conditions of the mortgage remain in place. I also posed a question on what is the situation where the 1% reduction does not compare in any meaningful way to the increased cost that will occur by the changes being proposed. So its the inconsistencies that I will attempt to have addressed as well as the key matter of the terms being altered. I was on hold for 12 minutes before getting through to talk to someone. She did however record in print form my concerns and she was sending my request to speak to someone at a high level who needs to come back to me as a matter of urgency. I am also today meeting with a journalist to have the matter highlighted in the press. I will hope to be in a position of updating you in the next day or so but like most matters banking related at present it may be a slow process. In summary the offer is not an offer but a means to allow Danske exit the market and I believe this needs to be challenged. I wish to give my email address for contact [email protected]. Rest assured that when I get more detail of the position of Danske in relation to the matter I will be able to formulate a more detailed response in terms of complaint. Back soon
Padraic
 
Hi Bronte
There is a proposal of reducing the SVR chargable on the loan in relation to the off set mortages by 1% to 'make up' for the loss of the 'off set' benefit of the current basis that the loan is on. would anyone have an idea how many of these loans could be affected it was a question from the Journalist yesterday I guessed at 2500 but not sure Padraic
 
I'm coming late to this thread, but glad I've found it! I have an offset mortgage, with a significant amount currently offset and got my account closure letter last week. I've engaged the services of a financial advisor to make a formal complaint to the bank but I'm keen to hear about how others get on.

Regarding the 1% discount... Maybe these messages are of some use?

----

Dear Danske Bank,
I received your letter "Re: Notification of Account(s) Closure" dated 21 February 2014 today.
I note that your letter offers to reduce the interest rate on my offset mortgage by 1%. So that I can
properly consider this offer, I need you to clarifythis proposed interest rate reduction please.
The main rate for the offset mortgage is currently 4.60%, as per the information on this page:
<snip - url> .
The page also mentions a discount of 0.45% due to the Prestige Package. This 0.45% discount has
applied to my mortgage for some time, as I see frommy "Mortgage Terms" tab in my online banking
which shows my "interest on debit balance" rate as 4.15% (= 4.60% - 0.45%).
Please clarify whether the 1% interest discount that you are offering if I close down my other
accounts is in addition to or instead of the prestige discount, i.e. If I accept your offer, will my new
interest rate be:
* 3.15% (= 4.60% - 0.45% - 1%); or
* 3.60% (= 4.60% - 1%); or
* something else?
Regards,
Renny

----
Dear Mr Barrett
Thank you for your email.
I can confirm that your new mortgage interest rate will be 3.60%.
If you have any further queries please do not hesitate to contact me.
Best regards
<snip - name withheld>
Danske Bank


----

I also sent a reply to this explaining that a 0.55% discount doesn't come anywhere near compensating me for losses - I have yet to hear back. I'm also concerned that the bank have no incentive to keep the interest rate low - as far as I understand it they are free to change the interest to whatever they like - it's not as if they're trying to attract any new business of course!
 
Hi all here is link to a piece in the Irish Indo today and thanks to Charlie Weston for highlighting this issue
http://www.independent.ie/business/.../danske-denies-mortgage-changes-30067507.html

I will now commence the complaint on behalf of customers but for others who wish to do so this needs to be done quickly as it may be too late if it only happens after the event so to speak.
A spokeperson for Danske stating when she said: "The withdrawal of accounts that currently form part of an offset portfolio does not involve any change to terms and conditions for the offset mortgage." This is unbelievable because if there was no change to the terms and conditions why offer the 1% discount Talk later Padraic
 
Hi all readers and sorry about the delay in responding on this matter. By means of update I spoke initially with the Ombudsman on this issue explaining the amount of possible complaints that may arise on this (apporx 400) but was informed that it was an issue for the Central Bank with that number and if I was to approach it as a group. Then contacted the Central Bank to be told that as far as they understand they believe that Danske are in compliance in regard to the closure of their operations here. I must say that I did not get much satisfaction from the CB which I found confusing. I expressed my opinion that I believe the terms and conditions are being altered and if all was correct with Danske why were the bank offering a discount on the variable rate but this was met with the same reply namely the CB feel they are in compliance with the closure. However they did not address specifically the off set issue. Having reviewed a number of these loans Tracker margins were available at the time people chose this product. So one type of product is unaffected by the closure and another is entirely altered, it just does not seem correct. I have spoken to a number of Journalists and this should be seeing print in the coming days. I have reviewed fully the terms and conditions of the 'off set' mortage and am commencing a complaint process on behalf of a number of customers of Danske. It appears to me that the only way to get this to complaint is through the FSO (Ombudsman) but these have to be taken individually but would advise all to do so to. Time is also running out Private message me if you wish to add to the number and I will explain more directly Hope this helps somewhat but this is going to be fustrating yet again!!!!! Padraic
 
Danske Offset

Hi Guys

I have just talked to Padraig on the offset issue where Danske are closing the offset accounts, I would have to say that he is certainly very passionate about the issue, he has been very successful in the past taking on the Banks on consumer problems, he has quoted me a fee of €200 to represent me and a number of others for the work involved in the case but says that he will reduce this if the numbers increase but says that time is running out. This looks like very good value to me. I want to confirm that I have no involvement with him or his business and today was the first time I talked to him. If you are affected by the closure of the offset and like me feel you are being treated badly by Danske then I would advise that you join his group as the more customers that are fighting this the better the chances of a victory.
 
Hi all
I have not corresponded in a while but have some good news on the matter of the 'Off-Set Mortgages' with NIB they have decided, to use their words 'Having received customer feedback' to again offer off set facilities and accounts are being allowed. You have 2 choices, open an account, or take the 1% discount. Any further queries let me know by PM
Talk soon
Padraic
 
Hi all
I have not corresponded in a while but have some good news on the matter of the 'Off-Set Mortgages' with NIB they have decided, to use their words 'Having received customer feedback' to again offer off set facilities and accounts are being allowed. You have 2 choices, open an account, or take the 1% discount. Any further queries let me know by PM
Talk soon
Padraic

V limited though on the account Padraic, 1 withdrawal per month and it has to be via written request to Pepper. Also no access to the funds via phone/atm/internet.
 
We have received a letter from DB offering us a new a/c to offset funds against our mortgage. They are refusing to refund the interest charged since this issue kicked off however and insisting to go through the whole process of providing ID etc. Seems like pressure may have been brought to bare?
Any thoughts?
 
We have received a letter from DB offering us a new a/c to offset funds against our mortgage. They are refusing to refund the interest charged since this issue kicked off however and insisting to go through the whole process of providing ID etc. Seems like pressure may have been brought to bare?
Any thoughts?


Info in that regard earlier on this thread. Also, a key thread over on boards.ie - with details of how others in your position have been dealing with this eg. pursuit via complaint to FSO, etc.
 
I had not seen this issue nor its resolution as it was buried in the long thread on trackers.

Interestingly, the issue is also buried in a long thread on boards.ie but you can follow the resolution from here

http://www.boards.ie/vbulletin/showpost.php?p=91779641&postcount=1248

It seems that they have sent the offer to everyone - those who have complained to Danske, those who took cases to the Ombudsman, and those who made no complaint at all.

Well done to Padraic Kissane for the role he played in pressurising Danske and the Central Bank.
 
Danske & FSOB

I have moved this post from another thread on a different Danske topic - Brendan

The previous thread makes good reading. Just because I have had dealings with both Danske and the FSOB over the summer I said I'd share the story with ye purely from an informative viewpoint.

Funnily enough I took a complaint to the FSOB against Danske over breach of mortgage contract and had my complaint upheld!!!! Yes that would seemed to buck the trend eh?

The complaint stemmed from the purely commercial decision by Danske to cease its non business/commercial account operations in Ireland. We had signed up for an Offset Mortgage product with NIB in 2005 whereby monies in our savings and current accounts would be taken into consideration vis-à-vis reducing the interest payments on the loan capital.

By virtue of the bank closing our non commercial savings and current accounts (our offset portfolio) the product we originally signed up for vanished from under our noses. The bank suggested that we continue with a standard variable rate mortgage cos after all that was essentially what an Offset Mortgage was anyway!!!

I learned through communication with the FSOB that many others, in a similar position, had also lodged complaints and thus, I was not surprised that a decision on, what I believed was a fairly black and white case, seemed to be dragging on.

From the outset Danske refused mediation and took the hard line. Then out of the blue, while the case was still in the investigative hands of the FSOB, comes an offer from Danske to re-instate a sort of hybrid version of an Offset Portfolio whereby we would put our hard earned cash into an account to be manage by a third party(agency); we'd be limited to one transaction a month on the account but the money would be used to reduce our interest payments as before. The offer letter stated this new product was devised through consultation with the Central Bank! Naturally enough we rejected this offer as through the complaint process we simply wanted the status quo returned.

Whether it is because the FSOB is simply too close to the banking culture to be completely impartial or whether there was a deal done with the Central Bank behind the scenes I will never know but even though my complaint was upheld!!! the judgement of the toothless FSOB was that Danske should re-issue the offer of the compromise Offset Mortgage to me (that I had already rejected mid adjudication of the case) and pay out a modicum of compensation. I was completely agogged! It was like yeah they screwed you over for sure but we understand completely why they did that; its just banking don't you see!; now go away!

My only recourse now is the high court; who'd go there reading between the lines of this thread. Take care of you. SDL
 
It was like yeah they screwed you over for sure but we understand completely why they did that; its just banking don't you see!; now go away!

My only recourse now is the high court; who'd go there reading between the lines of this thread. Take care of you. SDL
They offered enough so that contemplating going to the HC leaves the complainant insecure as regards the outcome. Who's going to risk a HC action on this?

Why would an office of state be complicit in this? Well I guess that's more telling about how things work in IRL....
 
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