can I ask is the prevailing rate issue part of the Discounted tracker one also?
As far as I know, they are separate but related.
In the pure prevailing rate cases, people took out fixed rate mortgages which said that they would be offered the "then current tracker rate" when the fixed rate expired. When the fixed rate term expired, ptsb offered these customers the then current tracker rate. (In the AIB case, AIB broke the contract and did not offer the prevailing rate.)
The discounted trackers had a product called discounted tracker.
They started on a tracker with a 0.2% discount for the first year which brought it to 0.6%.
These customers not unreasonably thought that they were on a tracker rate of 0.8% discounted to 0.6%
But they had the same clause about "then current" so they were offered 2.25% and 3.25% margins.
My view is that the name of a product should trump anything written in the small print.
For example, you can't call a savings product "The 10% rate deposit" and then write in the small print that the 10% is paid on only 1% of your savings and it's 0% on the rest.
Brendan