How soon can I switch after cashback?

T

talbot

Registered User
Messages
10
Just wondering if there is a minimum amount of time you must maintain a mortgage with either BOI or EBS to keep the cashback sum? I can't see mention of a minimum time under their T&Cs (apart from the extra 1% after 5 years in the case of BOI).

For example, if I took out a mortgage with 1 year fixed rate with either BOI or EBS and availed of the 2% cashback, could I switch after 12 months, or would they try to claw back the 2%?

I'm considering moving to new house with BOI/EBS mortgage, selling existing house over next 12 months, then using that cash to pay off lump sum to bring LTV under 50% and then switching to AIB.


Thanks in advance!
 
No miniumm limit. I specifically asked this of EBS 6 months ago. Signed contracts with Ulster last week.

If you're moving house nothing to stop you trying to get 2% twice (once on old house and again on the new house). Afaik the only limit is banks won't pay the 2% in the same house-owner combo more than once.
 
Hi Talbot,

FYI

I switched 3 times in 5 months - EBS-PTSB PTSB-KBC - KBC-AIB.

Its a bit of work but totally worth it
 
Toshsmith said:
Hi Talbot,

FYI

I switched 3 times in 5 months - EBS-PTSB PTSB-KBC - KBC-AIB.

Its a bit of work but totally worth it
Click to expand...
Well done - that's an incredibly quick timeframe.
Can I ask - did you have approval from the next bank before you started? E.g. did you already have approval from KBC at the time you switched to PTSB?
 
i was a bit longer but did similar, EBS to BOI and BOI to UB, cashback from both EBS and BOI at 2% of the mortgage and then 1.5k from UB to cover switching costs, over about 12 months.
 
I am doing the same lads , i had the same question on another page here. I am moving from EBS to Ptsb and then onto BOI, I haven't drawn down yet but i am about to in the next 10 days. I have approval from both PTSB and BOI, i am currently filling out my new application to EBS to get the 2% cashback from them. A bit of work but if you have all the paperwork in order it is just a matter of making 3 copies of each for the seperate banks.
 
So do I understand correctly, did each bank know about the preceeding switches ? As in did they ask you for your mortgage statement for the prior lender ? Did your solicitor give you any kind of discount or did they not have to complete some of the title searches etc given the short timeframe?
 
in my case i paid the full fee to the solicitor at each time, banks knew about preceeding switches (theres no way of them not knowing) obviously the larger the mortgage is the more sense it makes
 
This is very good idea and seems to be the only thread on the net. It has been mentioned that BOI require you to be with your current mortgage provider for up to 12 months, wonder if this is a new thing or always been the case?
Can you guys tell me if you all went variable on your mortgages as opposed to fixed to ensure their were no breakage fees when switching or are they only incurred when overpaying ??
 
BOI do not require you to be 12 months AFAIK what i did was get 3 loan offers at the same time, so they all think you are switching to them from your currently lender. All you do then is draw-down first mortgage and once you get cashback pay them off with your next draw-down and the same again BOI-PTSB-EBS. All 2% cashback. A few things you will need to do but all very easy, each bank will need their name on your home insurance schedule , all you do is call your insurance company and ask them to change the bank of interest on your policy. Each time you change they send you out new documents, just send these onto the correct bank. The same for your mortgage protection policy. A few phone calls and its all sorted. These small things seem to put people off switching but really its no big deal, and well worth it for 6000 euro.
 
Can someone stop me where I go wrong here. I'm looking to change my mortgage provider and i've stumbled upon these threads about hopping from one provider to another, so I wanna make sure I got this right.

  • I've been with my current provider for ~16 months (Haven), and BOI, EBS, Ulster, PTSB are all doing better fixed rates, so at the very least, I should move
  • Some talk of BOI requiring people to be with their current provider 12 months, so i'm thinking for the sake of it, I switch to BOI first.
  • First things first, I get all my documents in order. Payslips, bank statements, current mortgage repayment history, IDs.
  • Contact a solicitor and see if I can get a bit of a deal for repeat business because im switching multiple times in a short period.
  • I then apply to a few banks at the same time. BOI, Ulster, EBS (feck PTSB, i've heard enough bad PR about them).
  • I get approved by all the banks (hopefully).
  • Contact my solicitor to get the ball rolling with:
    • BOI - 3% fixed for 1 year, with 2% cashback after drawing down.
    • Get the house valued
    • Change my home insurance bank provider on the policy
    • Change my life insurance bank provider on the policy
    • Pay my solicitor (~1000-1200 euro?)
    • Get my 2% cashback from BOI after a number of weeks/months?
    • Contact BOI to inform them i'm switching mortgage provider ??
    • Pay BOI a fee for breaking my contract with them early (rough idea of cost?)
  • Contact my solicitor to get the ball rolling with:
    • ESB - 3% fixed for 1 year, with 2% cashback after drawing down.
    • Get the house valued
    • Change my home insurance bank provider on the policy
    • Change my life insurance bank provider on the policy
    • Pay my solicitor (~1000-1200 euro?)
    • Get my 2% cashback from BOI after a number of weeks/months?
    • Contact EBS to inform them i'm switching mortgage provider ??
    • Pay ESB a fee for breaking my contract with them early (rough idea of cost?)
  • Contact my solicitor to get the ball rolling with:
    • Ulster bank - 2.3% fixed for 2 year(s).
    • Get the house valued
    • Change my home insurance bank provider on the policy
    • Change my life insurance bank provider on the policy
    • Pay my solicitor (~1000-1200 euro?)
    • Enjoy 2.3% rate for 2 years.
I've marked a few points in bold where i'm not exactly sure about if someone could give me some clarification.
 
No point fixing if you're going to switch. It could cost you money. If I were you I'd tell them you will fix at some point after switching as you're still deciding best term. Then hop to next bank
 
skrooge said:
No point fixing if you're going to switch. It could cost you money. If I were you I'd tell them you will fix at some point after switching as you're still deciding best term. Then hop to next bank
Click to expand...
BOI variable rate would be 4.5% for me. About 250 quid extra per month when compared to their fixed rates of 3%. Considering i'd be with BOI for at least a couple of months, that's €500+. Would the fees to break the mortgage be more or less than 500? Can't banks "only charge a penalty based on what they would earn from keeping the mortgage funds on deposit"?
Something like this
https://www.askaboutmoney.com/threa...nk-to-break-out-of-a-fixed-rate-early.204442/
 
It's unfortunately a case of how long is a piece of string in terms of break fees as it really depends on market rates on the day you fix and the day you break. I appreciate it might save you money but it does add an extra uncertainty and also additional steps to it all.

Get your home insurance and mortgage insurance independent of your mortgage provider. You don't need to change them unless you're rebuild cost (home insurance) or your mortgage terms (mortgage protection) change during the switch. My house insurance didn't change but as I extended my mortgage term I did bedn to get a new life policy. If you keep the term the same you just need to add the new bank to the pictures. You're also being very nice in letting the bank know you're moving. I didn't bother I hoped they would figure it out from the zero balance on the mortgage account. You could also try asking the banks for a list of valuers and see if there are any common names. Again may save time effort and money.

As for time it takes to get cash back it was about 6-7 weeks with EBS for me and 4 weeks for Ulster. For my shame I have only switched the once in my 11 months of mortgaged life.
 
You must log in or register to reply here.
Back
Top