Lost tracker from ICS when had to removed Ex's Name

B

Bello

Registered User
Messages
4
Has anyone advice experience on query please. I was on a tracker mortgage with ICS from 2002 then I split from my ex in 09 and agreed to buy him out and remove name from mortgage. Unfortunately at the time ICS would not give me back the tracker rate and thus went on the variable rate of 2.6% but this has grown significantly to a current rate of 4.55% which I am struggling to repay. Were they fully correct at the time and is it tough luck for me now ! Thanks
 
Hi Bello
If the account number is the same you may have a case to look at as the terms and conditions of the original loan should remain in force. If the account number changed it could be a problem as new terms will apply as per the T&C's of the new loan
Hope this helps Padraic
 
Thank Padraic I just checked and it a a different account number so I guess they got one over on me ! What's even more annoying at the time u went through a broker as did not know a lot on mortgages rates etc .. You would think he would of mention to me bad idea to let go off tracker and other options that might be available . It's costing me a lot now !!
 
I don't think they got one over on you. They allowed you to become the sole mortgage holder in return for you going on the variable rate and you accepted that. It actually sounds to me like they gave you a new mortgage. The fact the rate has gone up is unfortunate, but you did manage to sort out the situation with your ex. If you are struggling now with the interest rate, then you need to tackle that. Either you make savings elsewhere, you ask for a term extension, or you move bank to get a better rate. As a first step you need to contact your bank, tell them you are struggling, and ask them what are your options.
 
The ideal solution would have been for the bank to simply remove your former partner's name from the existing mortgage leaving all the terms and conditions alone. However some are unwilling to do this and insist on a new mortgage so you could possibly have pushed for that option at the time, no guarantee you would have got it but realistically it's too late now to do anything about it.
 
Bello,
I would not give in so easily as suggested.
Was the loan in arrears , was it in negative equity at the time of the changeover?
I can appreciate from the lenders point of view that it was a "new" loan but did ICS give you any advice? have you anything in writing other than the new loan offer?
A much fairer resolution would have been to let your half on tracker and the "new" half on SVR to reflect the new risk.
I would gather as much paperwork as I could and ask the Customer Services Manager, Bank of Ireland Personal Lending, New Century House, Mayor Street Lr., IFSC, Dublin 1 . to intercede.
 
There is no way in hell the OP's bank would let her retain her tracker rate after she changed the T&C's by removing her ex from the mortgage.

Does the OP also have to remove her ex from the Land Registry Title. Is there a chance she could pay off the house and then he turns up to claim his share as he's still the registered owner of the house?
 
Highly unlikely the ex's name is still on the Deeds, that would have been done I imagine on issue of the new mortgage as the deeds cannot remain in two names and the mortgage in one. It was not that uncommon for banks to simply remove one name from a mortgage if circumstances warranted it, however many now take their opportunity to get rid of a tracker and insist on a brand new loan.
 
this is from the code of conduct of mortgages arrears
i don't think you should have lost the tracker

​
5. Tracker mortgages
[FONT=Calibri,Calibri][FONT=Calibri,Calibri]The CCMA currently prevents a lender from requiring a borrower to change from an existing tracker rate to another rate as part of any alternative repayment arrangement offered. This provision was included at the recommendation of the Government’s Expert Group on Mortgage Arrears and is intended to ensure that the MARP process and forbearance measures are not used to transfer borrowers to less favourable terms, thereby putting them at a financial disadvantage and making their arrears situation worse.
[/FONT][/FONT]
 
I don't believe that clause covers the OP's situation. It was the breakdown of the relationship meant the borrowers requested a change of mortgage.
 
This was obviously sharp practice by the bank , they would have been delighted to see the end to one of their trackers. The bank should have informed the OP in writing that she was going to lose her tracker .

If a joint loan account was transfered to a single account in the credit union would the new interest rate double?

I believe they have a serious case to answer .
 
Robert if one is on a fixed rate of 4 % and move banks one has to take the new banks rate so it might indeed be double, or it could be half. In this case the OP is taking a new mortgage, they have no obligation, nor should they have to continue the current arrangement. It is the OP that is breaking the contract. The bank are helping her with this by agreeing to a new mortgage solely with her.

If the OP wanted to keep the tracker they should not have requested a new mortgage, they could have continued as though they hadn't split up.
 
Bronte , The OP did not say she requested a new mortgage , she simply said she wanted her ex s name removed . The example you give about moving banks doesnt compute as she wasnt moving banks .
 
is the bank doing you a favour by doubling ( and maybe tripling ) your mortgage repayments over 20 - 25 years !!!!!
 
And unfortunately names don't get moved without one loan being redeemed and another one set up!
 
robert 200 said:
Bronte , The OP did not say she requested a new mortgage , she simply said she wanted her ex s name removed . The example you give about moving banks doesnt compute as she wasnt moving banks .
Click to expand...

If you ask for a name to be removed you are breaking the contract and you have to make a new contract.
 
Hi Folks,
I didn't realise this thread was up and running and I posted this earlier :


I'm looking for a bit of advice please? I separated from my husband in 2010 and have been paying and dealing with AIB solely since then. My ex would not agree to a term extension and I was getting short term deals ie Interest Only & Forbearance on the mortgage over the past year. Since then, the courts have awarded me the house. All the while, AIB were advising me that I would need to submit a new application in order to remove his name from the mortgage (his name is off the deeds) and they advised me that I would not lose my tracker rate as we had gone through a separation. Recently I submitted my own application, still being told that I would keep the tracker. I needed to extend the term on my new application in order to meet the monthly repayments. I got a call from AIB yesterday, telling me that because a Term Extension is required, I am now going to lose my tracker and go on to SVR. This is going to cost me in the region of €48k extra! Can anyone shed any light on this? Thanks...
 
Rosie.

Try hard to remember date/time/person who verbally said you can keep tracker.
Normally Bank calls are recorded .
If you can get that it would be a GREAT help to you.
 
Banks can and do regularly remove names from mortgages, for example when one holder dies, this can be done my most without the need to set up a brand new account. In these cases obviously nothing is changing with the loan other than the names. However there is nothing to stop a bank insisting on setting up a brand new mortgage account, they could still apply the same rate if they wanted as the old loan.

The problem here is now the new loan is not going to be the same as the old loan, it is going to be for a longer term therefore the bank are definitely going to insist on a brand new mortgage due to the changed terms which will probably mean a loss of tracker.

This will be a hard one to argue, if you were changing nothing you would have a good case.
Do you not qualify for the existing amount and term on your income? Is the reason the term is being extended to bring you within guidelines?
 
You must log in or register to reply here.
Back
Top