KBC Is the KBC 'prevailing' rate argument dead in the water?

Discussion in 'Tracker Redress' started by mccoypat94, 14 Feb 2018.

  1. Geturtrackerbk

    Geturtrackerbk Registered User

    Posts:
    6
    Good morning,

    It appears that the "prevailing rate" cohort remain the forgotten cohort of Borrower in KBC. Can I ask though has anyone had any response from KBC regarding the Mortgage Booklet from 2005 that says that you can choose any rate (fixed, SVR, Tracker) once your fixed rate expired. Despite a number of requests KBC are not answering the question as to why they failed to offer a tracker rate when they sent out the various options once an initial fixed rate expired. ANyone have any joy with getting a response to this question?? Thanks
     
  2. unfortunate

    unfortunate Frequent Poster

    Posts:
    126
    They said not contractually entitled to one. I got a copy of a booklet from them but have no idea if its from 2005 (my mortgage drawdown year) or it could be 2008 or anytime in between. My main argument is the flyer.....ALL fixed rates will now roll.
     
  3. Johnc6

    Johnc6 Registered User

    Posts:
    29
    Last edited: 6 Jun 2018
    I rolled from fixed end of 2007 and complained that I was not offered tracker as per 2007 handbook, they responded: We would note that the Handbook that you refer to was introduced by the Bank in May 2007 and was not the handbook provided to you when your loan offer issued in November 2005. My follow up with the FSPO is that I referenced the 2007 Mortgage handbook as that was the KBC handbook version applicable to the specific time of our complaint, December 2007. As the KBC mortgage handbook is an evolving document, only the current version at any particular time should be relevant to customer queries. If KBC disagree with my opinion then anyone who took out a mortgage on fixed rate from May 2007 and during the lifetime of that 2007 handbook, independent of the fixed timeline, they should have been offered Tracker at the end of that fixed rate according to the handbook. The Tracker was dis-continued after 2008 mantra would not hold any water in that scenario.
     
    Last edited: 6 Jun 2018
  4. Johnc6

    Johnc6 Registered User

    Posts:
    29
    no have not heard back yet, my complaint concerns a few points also,
    · Prevailing versus SVR
    · SVR not documented anywhere in contract, loan offer, handbook etc.
    · Flyer
    · Handbook
    · Data missing
    · No phone transcripts and subsequent notes interpretation
    · Central bank Regulations: GENERAL PRINCIPLES of Consumer Protection Code,
    · Current KBC Bank policy towards customers and Mr. Wim Verbraeken’s testimony to Finance Committee:
    · Central Bank Statistics show the Prevailing Variable rates with Irish banks during 2006-2008 was the Tracker Rate.
     
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  5. bluestilton

    bluestilton Registered User

    Posts:
    24
    In the same boat with regard to complaint to FSPO re KBC. Applied for tracker in 2005, mortgage application manually changed to svr either by bank or broker (tracker scribbled out and variable rate box ticked). Was not aware of change until I requested file and found copy of application form included. To make matters more complicated I had signed the application form at the brokers and had assumed my husband had signed it also but it was not his signature on the application. Contracts issued as a discounted variable rate but we assumed this was a tracker, after a year we were on 4.5% interest rate and have been screwed by "The Bank of You" ever since. Letter of complaint to KBC two years ago took 15 months to reply to, they were blaming broker who has gone out of business, have complaint with FSPO since last autumn, they have told me they need time to consider as it is a complicated issue. Complaint to FSPO also points out the major inconsistencies in KBCs explanation of types of products between application form and contract, KBCs blatant disregard for the consumer protection code and unfair terms in consumer contracts directive. Another point we brought up in the complaint to FSPO is that under the terms of the Framework for conducting the tracker mortgage examination KBC re obliged to consider, in the context of the transparency of the documentation provided to the consumer, whether there was potential to confuse or mislead the consumer in relation to a particular term pertaining to the loan agreement and whether particular terms had dual meanings (section 3.6, page 4 of CB Tracker Mortgage Examination Framework issued Dec 2015). KBC appear to have focused on examining only mortgages approved within a set timeframe. The many complaints re KBC on this forum indicate that there is a real need to form a lobby group to put pressure on this bank.
     
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  6. Wonder

    Wonder Registered User

    Posts:
    33
    For anybody that would like to see what kbc defined there rates as look up .
    Phoenix funding 3 limited Irish stock .Prospectos.
    Go to page 13 and 14 .
    Variable rate of interest calculated by reference to ECB benchmark main refinancing operations minimum hike rate (the ECB rate).
    Standard variable mortgages move from time to time by kbc or which one initially on a discount variable rate.
    So if u started on a fixed rate and moved to variable it was a tracker.
    If u started on a discounted variable you moved onto a standard variable.
    This is not dead in the water ......
     
    Jazzer1 likes this.
  7. demoivre

    demoivre Frequent Poster

    Posts:
    2,540
    Last edited: 9 Aug 2018
    KBC have said this morning that they have completed their redress and compensation scheme relating to the tracker scandal. Looks like that's the line in the sand for some people. I know several people who were told they were part of the review and who never heard anything good, bad or indifferent form KBC. So it looks like internal appeals, FSPO appeals and ultimately the courts imo before this issue will reach a conclusion.
     
    Last edited: 9 Aug 2018
  8. Patrick-A

    Patrick-A New Member

    Posts:
    2
    Hi John,
    Have you had a response yet from them in relation to your points?