Unfortunately, for some of these borrowers, there was no rate specified in the mortgage contract. So it didn't change.
They started on a fixed rate and were told at the time, that on expiry of their fixed rate, they would be put on the "tracker rate then prevailing".
Where the contract specified a rate and where the contract was not superseded by a change of contract, they got the rate specified in the contract.
correct me if I am wrong, but would it not be the case that if PTSB stopped issuing tracker mortgage products to new customers in March 2009, then the tracker margin above the ECB at this particular point in time, would be the prevailing rate. There should be no further changes to the tracker margin from this point onwards. Therefore, if a borrower returned off a fixed rate onto a tracker product at the " tracker rate then prevailing " it means that they must return to the tracker rate offered by the bank on the date before which the bank stopped issuing trackers to new customers. In other words, how could it be possible for the tracker margin above the ECB to increase or decrease on any date after which the product was withdrawn from the market. ( ie there is no longer a prevailing rate )
Synonyms: prevailing, prevalent, current
These adjectives denote what exists or is encountered generally at a particular time. Prevailing applies to what is most frequent or common at a certain time or in a certain place
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