"Central Bank washes its hands over interest rates"

[Brendan Burgess]

An article by Charlie Weston in yesterday's Sindo

Central Bank washes its hands over interest rates

Bank of Ireland and Permanent TSB have cut their variable rates - but only for new customers.

There is no justification for this policy other than to exploit those customers who cannot move because of negative equity or mortgage arrears. It is unfair and exploitive.

...

But, wait. Does this activity not fall foul of Central Bank rules?

The Central Bank makes much of the Consumer Protection Code, which it uses to regulate the banks and ensure they treat customers properly.

And the code is clear. Under general principles it states: "A regulated entity must ensure that in all its dealings with customers and within the context of its authorisation it acts honestly, fairly and professionally in the best interests of its customers and the integrity of the market."

Surely, the decisions of Bank of Ireland and Permanent TSB to cut variable rates for new customers only is in conflict with the above? They are not acting "fairly".
http://www.independent.ie/business/...s-its-hands-over-interest-rates-30897481.html

 

[Gerry Canning]

The Consumer Protection Code is a nasty piece of work .

It pretends in its verbiage to (protect) the consumer but in application it falls far short.
From what I can surmise , when push comes to shove on issues that may (harm) our Banks it is (beaten) into place by Laws of Contract ie consumer signed,so tough.

From memory Brendan on a previous post highlighted that equity and fairness can be used by our regulators,(indeed what he highlights shows this) but I do not see that being used as it is used in UK?

The number of people who were obviously scalded by Banks/Insurance on improper investment type advice ,yet who cannot access fairness notwithstanding the (lovely) verbiage in our Consumer Code? irritates!

I think our (Regulators) are very good with language , poor in application.

 

[Gerry Canning]

The Consumer Protection Code is a nasty piece of work .

It pretends in its verbiage to (protect) the consumer but in application it falls far short.
From what I can surmise , when push comes to shove on issues that may (harm) our Banks it is (beaten) into place by Laws of Contract ie consumer signed,so tough.

From memory Brendan on a previous post highlighted that equity and fairness can be used by our regulators,(indeed what he highlights shows this) but I do not see that being used as it is used in UK?

The number of people who were obviously scalded by Banks/Insurance on improper investment type advice ,yet who cannot access fairness notwithstanding the (lovely) verbiage in our Consumer Code? irritates!

I think our (Regulators) are very good with language , poor in application.

........................

I have been watching Charlie Westons musings in Indo these few months.
He has obviously decided that our (Regulators)(Central Bank) (Ombudsman) are not fit for the purpose of protecting consumers.
Between the lines I pick up the thread (why do we give these people credit?)

He is correct.

 

[James Kelly]

I think Charlie is one of the few in the media who is regularly highlighting this issue. As a variable rate customer with what was or is EBS (AIB) I am maddened by the response of our Government and the Central Bank allowing variable rate customers to be gouged so badly and for so long by the institutions they now partly own. I have written to the Central Bank highlighting this issue but so far have received no reply. Is there not a class action or something similar we can take against the Central Bank. through Europe perhaps ? If it was to go in our favor there could well be a retrospective payment the banks would have to pay back their customers. I would be happy to give up some of my time to pursue this. I am sick of being robbed by our own banks still after having to bail them out and our politicians/Central Bank pretending to have no power when it suits them.

 

[sisterjoan]

Totally agree with you,