Post edit to delete unnecessary history and focus on today's problem.
Hi Guys,
my problems are a few years down the track, but I'm very concerned about them and would appreciate any advice about what preparation or action I should take in the future.
Bit of a long history to the mortgage, I took out my mortgage with PTSB with an ex fiancee in 2006 to build our house, in 2008 shortly before we were due to marry, I found out she was seeing another guy and we split with me having to remortgage with KBC bank to buy her out and keep the house.
I borrowed €245,000 at the time.
In 2011 I married and shortly after we found ourselves going down an expensive IVF route, 9 cycles costing €74,000, don't ask me how we managed to pay for it, savings, family donations, sold cars, etc. We finally got lucky and our first baby was due in march 2016, it was a very touch and go pregnancy from the start but had a lot of stress, and complications in the final months.
I contacted KBC Bank and explained my situation and that we were traveling to hospital now on a daily basis, and that i needed to take unpaid leave from my job for about 2 months but I was willing to make some sort of payment, my payment was about €1200 p\m at the time, they asked me to pay €600 for 3 months, I have to say they were great to deal with.
At this point (And looking back in hind-sight was probably the worst decision i ever made) i asked would it be possible to extend the term of the mortgage as the the €1200 p\m would be a bit tight with a new baby, and I knew we had a further embryo to use for a chance to extend our family.
[In 2016] To my surprise KBC Bank brought my new mortgage payment down to €800 p\m and increased the term to its maximum 29 years, and in addition said that they would set our interest rate at 0.5% for a period of 5 years to as they put it "give us a chance to get back on our feet financially" I couldn't believe it, this was brilliant, I had never missed a payment, the few reduced payments were pre-approved by the bank, and the exception was that I over eagerly paid manually twice to the bank, on the 1st and 28th of the month our baby was born, this men't that the following calendar month showed no payment on the mortgage at all, i didn't understand the way it was calculated at the time, and i did get a bit of nasty mail relating to this.
Anyway at the end of the 5 year deal for the 0.5% interest (2021) it coincided with KBC Bank leaving the Irish market, They had informed me that my mortgage was being sold to CarVal investments managed by Pepper finance.
before the switch over I had the property revalued and used the LTV of 46% to fix my interest rate to 2.6% for 5 years.
I asked a financial adviser to aide switching my mortgage to a open bank, anything that is not a vulture fund or closed bank.
The response was that no bank is interested in taking on your mortgage.
I have just over 3.5 years left on my fixed rate, I'm very worried about the increase I will be facing in a few years.
I contacted pepper finance, they are not at all helpful or even approachable, they said they couldn't continue to offer a fixed rate once my existing one has expired, they wouldn't even tell me how much I owe on the remaining mortgage, nor do they issue any yearly statement of whats owed, I have to work it out myself from old KBC bank statements.
Valuation of property : €370,000
Estimated mortgage balance: €164,000
Term left on mortgage: 23 years
Age of applicant: 47 years
LTV of mortgage: 46%
Current monthly payment: €800
Salary: €30,800
My wife is not on the mortgage but only works part-time and is on carers allowance, taking that into account and bonuses I get from work we have a household income of about €52,000 with 2 kids school going age.
I know its not as desperate a situation as most people that are considered mortgage prisoners, but anything over €1,000 p\m is going to potentially send us down a path of defaulting on payments.
I desperately need to get away from these guys and onto a fixed rate with a bank.
any advise on the direction to take please.
Hi Guys,
Bit of a long history to the mortgage, I took out my mortgage with PTSB with an ex fiancee in 2006 to build our house, in 2008 shortly before we were due to marry, I found out she was seeing another guy and we split with me having to remortgage with KBC bank to buy her out and keep the house.
I borrowed €245,000 at the time.
In 2011 I married and shortly after we found ourselves going down an expensive IVF route, 9 cycles costing €74,000, don't ask me how we managed to pay for it, savings, family donations, sold cars, etc. We finally got lucky and our first baby was due in march 2016, it was a very touch and go pregnancy from the start but had a lot of stress, and complications in the final months.
I contacted KBC Bank and explained my situation and that we were traveling to hospital now on a daily basis, and that i needed to take unpaid leave from my job for about 2 months but I was willing to make some sort of payment, my payment was about €1200 p\m at the time, they asked me to pay €600 for 3 months, I have to say they were great to deal with.
At this point (And looking back in hind-sight was probably the worst decision i ever made) i asked would it be possible to extend the term of the mortgage as the the €1200 p\m would be a bit tight with a new baby, and I knew we had a further embryo to use for a chance to extend our family.
[In 2016] To my surprise KBC Bank brought my new mortgage payment down to €800 p\m and increased the term to its maximum 29 years, and in addition said that they would set our interest rate at 0.5% for a period of 5 years to as they put it "give us a chance to get back on our feet financially" I couldn't believe it, this was brilliant, I had never missed a payment, the few reduced payments were pre-approved by the bank, and the exception was that I over eagerly paid manually twice to the bank, on the 1st and 28th of the month our baby was born, this men't that the following calendar month showed no payment on the mortgage at all, i didn't understand the way it was calculated at the time, and i did get a bit of nasty mail relating to this.
Anyway at the end of the 5 year deal for the 0.5% interest (2021) it coincided with KBC Bank leaving the Irish market, They had informed me that my mortgage was being sold to CarVal investments managed by Pepper finance.
before the switch over I had the property revalued and used the LTV of 46% to fix my interest rate to 2.6% for 5 years.
I asked a financial adviser to aide switching my mortgage to a open bank, anything that is not a vulture fund or closed bank.
The response was that no bank is interested in taking on your mortgage.
I have just over 3.5 years left on my fixed rate, I'm very worried about the increase I will be facing in a few years.
I contacted pepper finance, they are not at all helpful or even approachable, they said they couldn't continue to offer a fixed rate once my existing one has expired, they wouldn't even tell me how much I owe on the remaining mortgage, nor do they issue any yearly statement of whats owed, I have to work it out myself from old KBC bank statements.
Valuation of property : €370,000
Estimated mortgage balance: €164,000
Term left on mortgage: 23 years
Age of applicant: 47 years
LTV of mortgage: 46%
Current monthly payment: €800
Salary: €30,800
My wife is not on the mortgage but only works part-time and is on carers allowance, taking that into account and bonuses I get from work we have a household income of about €52,000 with 2 kids school going age.
I know its not as desperate a situation as most people that are considered mortgage prisoners, but anything over €1,000 p\m is going to potentially send us down a path of defaulting on payments.
I desperately need to get away from these guys and onto a fixed rate with a bank.
any advise on the direction to take please.
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