AIB returning trackers to borrowers who changed names on the mortgage

[Brendan Burgess]

Where a couple had a tracker and separated, and he wanted to take over the mortgage in his own name, AIB (and all the other banks) insisted that the old mortgage be paid off and that a new mortgage at SVR be taken out in his own name.

They are now saying that they should not have done this and are giving him back his tracker, redress and compensation.

I had been told that AIB was planning to do this, but I have seen it confirmed today.

I find that astonishing. They presumably had no legal obligation but the Central Bank must have insisted that "fairness" trumps the legal position.

Or it may have been an AIB initiative. I wonder if the other banks will do this as well. I find it very hard to see BoI doing it.

Brendan

 

[Bronte]

Why just trackers. It applies too to people that might have been on very good fixed rates who had to break them and go on a worse variable rate.

 

[Brendan Burgess]

Hi Bronte

An interesting point, although I would doubt that there would be very many of them. But someone in that situation could use this as a precedent.

Brendan