Has anyone negotiated a discount for paying off an EBS tracker mortgage?

B

Bikini Widow

Registered User
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Hi all,

I have an EBS tracker mortgage on my principal residence, with approximately €135,000 outstanding and around 10 years remaining.

I am considering using proceeds from the sale of an inherited second property to make a substantial partial repayment or clear the mortgage in full. I have confirmed that there is no overpayment penalty.

My question is... Before contacting EBS, does anyone know of anyone who successfully negotiated a reduction in the outstanding capital, or another financial incentive, in return for voluntarily redeeming a tracker mortgage?

I would be particularly interested in:

  • Actual experiences with EBS, although examples from other lenders would be helpful.
  • When the offer was made and whether it was a published scheme or individually negotiated.
  • Whether it involved full repayment, rather than switching to a fixed or variable mortgage.
  • Which department dealt with the request and whether any conditions applied.
I am asking about a performing mortgage on a primary residence and voluntary early repayment—not an arrears settlement or tracker-redress payment.

I appreciate that a tracker is not necessarily loss-making for the lender. I would simply like to establish whether there are any genuine examples of a lender offering an incentive before I make the enquiry.

Thanks.
BW
 
You can ask, but you will not be getting a discount.

Bikini Widow said:
I appreciate that a tracker is not necessarily loss-making for the lender.
Click to expand...

The current ECB rate + the margin is not much different from the market rate.

The ECB rate is 2.65% + 1% margin = 3.65%

Here are AIB's rates at present for <50% LTV which most trackers would be by now. (Their green rates are lower again.)

1791358776772.webp
 
Last edited:
For about 6 months back in 2010 or thereabouts, banks lost money on trackers. The media screamed about it as if it was the best thing ever and there were plenty of headlines.
Once the ecb started supporting banks, the banks made a profit on trackers and make very good profits these days as a lot of funding comes from low cost deposits.

As it is a nice trouble free and profitable loan for them, there's zero chance of even a one cent discount.

You can ask, but you will be told "no"
 
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