After finally getting pure fed up of being fleeced by PTSB at 4.2%, I went shopping around this week for a new lender. The LTV of our property has finally hit 80%, and Mrs Joe has now got secure employment.
I looked at the calculators online for €294K over 22yrs, decided that 3 year fixed is what suited our needs the most. PTSB offer of fixing at our current rate is laughable, looked at BOI and Ulster Bank with great interest, was contacted by very courteous gentleman from BOI and then had a meeting with excellent mortgage advisor at UB.
Currently paying €1625 pm at PTSB, the UB advisor went through options and the 3.2% Fixed Loyalty Plus product was coming in at €1552 pm before tax relief, and a full 1% cheaper. Computer says no, however. The BOI passed on us, but did not specify why.
We tick all of the boxes. No loans, no bad debts, no childcare costs both in public sector. Value of property is increasing in desirable area. We overpay the PTSB mortgage each month, and earn €75K p.a. between up. The decline was on the basis of the mandatory central bank stress test for repayments 5.2%.
This decline has really annoyed me. I can understand the fundamentals behind the +2% interest stressor, and we would cut the cloth to the measure if the variable rate we hold now was to increase. Surely if we are paying less over 3 year period, an increased additional interest can't be applied?
Right now, on a crucifying variable rate with PTSB, we are vulnerable to them hiking up the interest rate to that same 5.2% figure that prevents us fixing. This might seem unlikely, but it is a reality that we have to live with. I feel that we are totally at the mercy of our current lender, and have not got any alternative but to continue to be robbed over a significant portion of the remaining 22 years of the mortgage.
Sorry for the long post, need to get this off my chest today. I am waiting for the decline letter from UB,, don't know what I will do after that....
I looked at the calculators online for €294K over 22yrs, decided that 3 year fixed is what suited our needs the most. PTSB offer of fixing at our current rate is laughable, looked at BOI and Ulster Bank with great interest, was contacted by very courteous gentleman from BOI and then had a meeting with excellent mortgage advisor at UB.
Currently paying €1625 pm at PTSB, the UB advisor went through options and the 3.2% Fixed Loyalty Plus product was coming in at €1552 pm before tax relief, and a full 1% cheaper. Computer says no, however. The BOI passed on us, but did not specify why.
We tick all of the boxes. No loans, no bad debts, no childcare costs both in public sector. Value of property is increasing in desirable area. We overpay the PTSB mortgage each month, and earn €75K p.a. between up. The decline was on the basis of the mandatory central bank stress test for repayments 5.2%.
This decline has really annoyed me. I can understand the fundamentals behind the +2% interest stressor, and we would cut the cloth to the measure if the variable rate we hold now was to increase. Surely if we are paying less over 3 year period, an increased additional interest can't be applied?
Right now, on a crucifying variable rate with PTSB, we are vulnerable to them hiking up the interest rate to that same 5.2% figure that prevents us fixing. This might seem unlikely, but it is a reality that we have to live with. I feel that we are totally at the mercy of our current lender, and have not got any alternative but to continue to be robbed over a significant portion of the remaining 22 years of the mortgage.
Sorry for the long post, need to get this off my chest today. I am waiting for the decline letter from UB,, don't know what I will do after that....