BOI restored tracker rate

Discussion in 'Tracker Redress' started by Tweedledee, 11 Jul 2018.

  1. Tweedledee

    Tweedledee New Member

    Posts:
    1
    Hi All,

    We recently received our compensation and redress package from bank of Ireland and a letter prior to that stating we would be returned to the tracker rate...

    my question is has anyone else queried before signing the mortgage form of authorisation that came with the redress package that if in time the ECB rates were to go up thus making the tracker rate higher could you change to a fixed rate and at the end of that period still avail of the tracker rate?

    I called them this morning and was told by them no, however nowhere on the MFA does it mention the ramifications of changing to a fixed rate in the future. I’m hesitant to sign the form until I have something more substantial in writing as the original contract states that at the end of any fixed period a tracker rate may be applied to the loan and by signing this MFA we’d be changing the terms of our mortgage.
     
  2. Brendan Burgess

    Brendan Burgess Founder

    Posts:
    36,147
    This is a totally academic question.

    Assuming your tracker margin is around 1%, there is just no way that fixed rates would ever be attractive to you.

    If ECB rates are expected to rise, fixed rates will rise as well.

    Just sign what you need to sign to get the money.

    Brendan
     
  3. moneymakeover

    moneymakeover Frequent Poster

    Posts:
    364
    Fyi tweedle
    I made an adjustment on the MFA adding
    "For the life of the mortgage"

    Was never challenged by bank
     
    maunie likes this.