BOI not moving with their rates for me

Skyler White

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I have commenced the process of seeking a better rate for our mortgage after allowing BOI murder us with a 4.5% rate since 2014 (I know, I know!). I called them this morning saying that Ulster Bank are offering 2.3%. However the lady in BOI replied saying that the best they can offer me is 2.9% fixed for 2 years. No movement on the rate or the duration. I asked could the 2.9% extend to three years or could I get 2.8%. The representative was quite adamant that 2.9% for two years was the only offer. I was quite persistent too and said right I'll call all of the other banks and ask what they can do for me as I intend to switch. She replied "no problem".

I'm usually good at negotiating preferable rates with insurers etc. but this woman would not budge! Any suggestion as to why I was not successful?? We have 29 years left, borrowing €240,000 approx. Value of House €390,000 approx. Only issue I can think of is that I couldn't get mortgage protection at the time of draw down due to a (managed) health condition I have - would the representative have this information readily available to her when I phoned and would that be a significant factor. I remember at the time when we were seeking a mortgage AIB wouldn't quote us, so I was grateful that BOI gave us a mortgage at all! We are both long-term customers of BOI but I know that's pretty irrelevant.

Grateful for any guidance. Many thanks.
 
You are arguing the toss over €240 a year buddie, that's the difference between 2.8% and 2.9% on a €240,000 mortgage. €20 a month.

Save the hassle and switch to the 2.9% with BOI. Saves you the hassle of switching and also, you can get this done quicker. Look at it this way:

You are paying 4.5% now with BOI. Buy switching to 2.9% with BOI, your monthly repayments will fall approximately €300 a month. You wanna spend the next two months switching provider, that'll cost you 2.5 years worth of the difference you are arguing over the toss with.

Fix with BOI and re-evaluate thereafter about switching provider. But for gawds sake, fixed @ 2.9% as early as possible. Its a no brainer.
 
Were you talking to Head Office or a branch? Either way I doubt whoever you were talking to has the authority to bargain about the rates, in fact hardly anyone would have once they decide a suite of rates! They can only offer you something that is set up in the system normally so are unlikely to tailor make a rate for individual cases.
 
Were you talking to Head Office or a branch? Either way I doubt whoever you were talking to has the authority to bargain about the rates, in fact hardly anyone would have once they decide a suite of rates! They can only offer you something that is set up in the system normally so are unlikely to tailor make a rate for individual cases.
There is lots of anecdotal evidence of BOI previously being able to offer a 2.8% rate.

However, that was all before they changed their rates a few weeks ago.
 
Thanks everyone! I think I'll take their offer, I'll be in a much better position from the get go anyway. Now to fix at either 2.9% for 2 years, 3% for 3 years or 3.2% for 5 years?
 
If the mortgage protection cover issue is not a problem, for Ulster bank.

Switch to them, you'll get 1500 towards switching, the cost of my current switch is 900.

I'm getting 2.1% for 2 years from Ulster bank
 
What Todo said, query the protection cover with Ulster Bank and if its not a problem, move to them! Very appealing rate and worth moving for.
 
If the mortgage protection cover issue is not a problem, for Ulster bank.

Switch to them, you'll get 1500 towards switching, the cost of my current switch is 900.

I'm getting 2.1% for 2 years from Ulster bank

2.1% ?? Is that correct or did you mean 2.3% ?
 
Skyler White, just fyi I rang BOI to look for the 2.8% rate in the last week or two also. Their line was that 2.9% was the lowest rate they could offer. I said I was aware they'd offered 2.8% to other customers and that we'd switch unless they offered us the same. No budging from them as of yet. It is possible they've changed their policy on it since they reduced from 3% to 2.9%. Anyone else asked for or gotten the 2.8% recently I wonder?
 
Skyler White, just fyi I rang BOI to look for the 2.8% rate in the last week or two also. Their line was that 2.9% was the lowest rate they could offer. I said I was aware they'd offered 2.8% to other customers and that we'd switch unless they offered us the same. No budging from them as of yet. It is possible they've changed their policy on it since they reduced from 3% to 2.9%. Anyone else asked for or gotten the 2.8% recently I wonder?

I think they may have changed their policy. I was offered 2.8% in January but my offer ran out before I could change rate (I was waiting to see if my fixed rate breakout fee would go down, but it just kept increasing). A few weeks ago I asked if they could issue me with a new offer letter and they said they weren't offering the 2.8% rate any more. So it sounds like 2.9% might be the best they'll do now.
 
I think they may have changed their policy. I was offered 2.8% in January but my offer ran out before I could change rate (I was waiting to see if my fixed rate breakout fee would go down, but it just kept increasing). A few weeks ago I asked if they could issue me with a new offer letter and they said they weren't offering the 2.8% rate any more. So it sounds like 2.9% might be the best they'll do now.
That's a pity about the timing for you. Thanks for the info though.
 
I think they may have changed their policy. I was offered 2.8% in January but my offer ran out before I could change rate (I was waiting to see if my fixed rate breakout fee would go down, but it just kept increasing). A few weeks ago I asked if they could issue me with a new offer letter and they said they weren't offering the 2.8% rate any more. So it sounds like 2.9% might be the best they'll do now.

Too be fair is there really that big of difference between 2.8% and 2.9% anyway in the greater scheme of things
 
Too be fair is there really that big of difference between 2.8% and 2.9% anyway in the greater scheme of things

Depends on the size of your mortgage or whether you feel like giving BOI a dig out with their NIM (2.2%)!
 
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