KBC mortgages moving to Bank of Ireland by end of March – or have already moved?

[Paul F]

Bank of Ireland completes purchase of €7.8bn of KBC loans

Move is latest step as KBC exits Ireland

www.irishtimes.com

Bank of Ireland confirmed on Friday that it had completed the purchase of €7.8 billion of loans and €1.8 billion of deposits from KBC Bank Ireland, as the Belgian-owned lender advances plans to exit the Republic.

It is expected that the portfolios – including €7.6 billion of performing mortgages, €100 million of small business and consumer loans, and €100 million of non-performing loans – will move across by the end of March.

Last chance to fix (or break and re-fix) your rate with KBC. Their rates are excellent because they haven't increased them (yet) – see the tables here.

Re-fixing will give you the security of a known interest rate for up to ten years. But if you think you will move home in the next few years, you should not fix for ten years. Instead, consider fixing for 3 or 5 years, depending on when you think you will move. (If you fix for 10 years and move home after 5 years, you could face a large break fee.)

If you want to know if there will be a penalty to break and re-fix your rate now (there probably won't be), post your mortgage details in this thread.

 

[Paul F]

Based on what @mikerd4 said in another thread:

I got the text msg five mins ago to say Im now a boi customer for my mortgage.

it is possible that KBC customers are already considered BOI mortgage customers. If that is the case, then fixing on KBC's rates is no longer an option. Probably best to call KBC and ask if you can still (re-)fix on their rates. If you do call them, please post what they say here.

If you are a KBC customer and you are considered a BOI mortgage customer already, you should be allowed to (re-)fix on the rates shown in the "Bank of Ireland (current BOI mtg customers only)" row in this table (which are a lot higher than KBC's rates):

Best Buy - Which lenders have the lowest mortgage rates? (Updated April 2023)

While I wrote the original post on this, Paul F has edited it and made it far easier to read and has kept it updated. Brendan You (or your broker) should apply to two or three of the cheapest lenders simultaneously. It might take some time for your loan offer to materialise, and today's Best...

www.askaboutmoney.com

 

[mikerd4]

That's the msg I received, I'm sure many others got it aswell.

The BOI MTG rates don't look that bad as KBC didn't give the best rates to those on trackers looking to go fixed. Or maybe I'm misreading that table.

Have an appointment with an independent mortgage advisor tomorrow so will see what his suggestions are based on our scenario. Thank you for the info so far

 

[Paul F]

The BOI MTG rates don't look that bad as KBC didn't give the best rates to those on trackers looking to go fixed. Or maybe I'm misreading that table.

Yes, BOI's mortgage rates are reasonably good for people (like you) who are on a KBC tracker. But BOI's rates are very poor compared to the rates that KBC were offering to anyone who wanted to (re-)fix their non-tracker mortgage.

 

[Paul F]

It looks like all (or almost all) KBC mortgages have now transferred to Bank of Ireland. If that is the case for your mortgage, your options are:

• Stay on your current rate
• (Re-)fix on one of Bank of Ireland's fixed rates for existing customers (see this page; choose "Existing" from the dropdown list and pick your loan-to-value (LTV) bracket)
• Switch to another lender

Consider posting your mortgage details in the switcher thread (in the format shown in the first post).