KBC KBC - redress amounts confirmed?

Hi all I am a KBC impacted account customer.
I’m waiting impatiently for my compensation pack to arrive I am trying to estimate what I am due back and was just wondering if anyone on here has had a receiver appointed over property and if so was compensation increased due to this happening.
To clarify I fought my case and fir the receiver to stand down but Kbc stung me for almost €4K for their legal fees and added it to my mortgage account balance
Would appreciate any views on this scenario.
 
@Audrey-666
If it can be shown that if the correct rate was applied you would not have got into difficulties, then those fees should be refunded .

If however the arrears are in excess of the overcharge, it will be more difficult to obtain a refund.

From what I've seen so far, kbc have refunded any charges over the period including missed payment charges.
 
Hi Peemac
Many thanks to your response. My case is a complicated one. I’ll give you the information and see what you think.
In October 2006 I took a tracker mortgage out on €270,000. In May 2007 I topped up by €55,000 to use towards the purchase of a new house. I fixed the mortgage for 2 years and in 2009 when I came off fixed term I should have been put back on my tracker on the €270,000 portion. The property has been rented but I couldn’t afford the full payments as the rent at that time was lower we had to go interest only some years. But still we struggled to pay the mortgage. A receiver was appointed in 2014 but stood down after a battle in 2016.
As it stands we owe €40,000 more than what we borrowed in 2006/2007 with arrears and fees etc. My account was restructured to include the arrears and payments increased to over the arrears in 2016 but we are only paying interest and part capital at the moment. So our account is a mess altogether no wonder it’s taking ages to sort out!!!
Would appreciate your views and calculations @peemac .
 
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@Audrey-666
That's certainly some mix and you'd definitely need a financial advisor to advise after kbc come up with their corrective figures.

Any overpayment will go against your arrears, but any compensation payment will probably be paid by cheque.

There are too many variables in your situation for me to even make a guess, but if it was straight forward, the overcharge on the 270k would be circa 40k - 50k, so at least that amount will come off arrears and your monthly payments will drop to a level that probably means you won't need the restructure.
 
@peemac
Thank you so much for taking the time to respond. It certainly is an exceptional case hopefully it won’t take until end of June the wait is driving me insane. Yes I most definitely will get a second opinion when they send me their calculations.
 
I have a complicated KBC mortgage story. We took out 320000 mortgage in 2006 fixed for 5 years and then went on variable rate. We had financial difficulties from 2011 onwards and capitalised 15000 arrears in 2015. We thought we would be able to manage the repayments but didnt. We capitalised further arrears of 11000 in December 2017 and extended mortgage term. Our repayments were 1700 per month. We received a letter to let us know that we are part of the impacted cohort that never had a tracker rate but are on it from March 1st. Happy Days! Our repayments are now down to 1400 per month - quite a drop from the 2500 we were trying to pay at some stages.
It has been a struggle to keep our house. We have had a KBC rep call to our house unannounced. We had to appeal their decision not to capitalise our arrears.We also have a bad credit history record.
As we had arrears at different stages will we get any redress and compensation from KBC?
Will our capital amount be reduced?
Whenever we hear from KBC would it be possible to seek a reduction in the term of the loan.
Can our credit history record be corrected if it shows that our arrears were caused by incorrect interest being charged?
 
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@berona123

If your overcharge exceeds the arrears, then your credit record will be corrected.

Your overcharge is circa €50,000+, so as this is higher than the arrears you have stated, the record will be corrected.

Your mortgage balance will drop and you'll get a refund and monthly payments may drop further.

Very easy to drop term of loan by overpaying a bit each month.
 
@peemac thanks for all your help on thispost -Its a great relief to hear other people are awaiting impatiently like ourselves. This post is super thanks to everyone for your input, it really does help.
Peemac, we are keeping you on your toes, was wondering if you could do a caculation for me if you wouldn't mind. We took out a 350K mortgage in june 06, fixed in nov 06 for 3 yrs, we were never on a tracker but should have been from the beginning. KBC changed us to our correct rate in March 18 to 1.25%.My interest rates over the yrs varied from 4.25% to 4.75% . Really appreciate your help
 
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You are a wealth of information. I find it a bit surreal that after years of struggling to keep the roof over our heads that we will actually get a refund and have our credit record corrected. I am pinching myself that it is not a dream after the many nightmarish years. Like others, it would be wonderful to have a definite timeframe instead of wondering when we will get the letter all the way to the end of June. Thank you @peemac
 
@JENNI44 - very similar timeframe to myself and same rates, so easy calculation :) Overpayment circa 60,000, compensation & tvm circa 8k-10k, about 17k off your mortgage balance and about 50k cheque.

@berona123 Thanks - From day one in December 2008 when I saw I was put on SVR instead of tracker I fought them. Read the full 20+ pages of the contract many times word for word, went to FSO & lost, looked at taking my own case, chatted to Padraic, got legal opinion and nearly gave up til Central Bank got involved. So its simply years of toil/tumoil that gives me the info and I'm happy to pass it on. I also got my refund over 3 weeks ago with a comprehensive breakdown, and using that, its relatively easy to give a ballpark figure to others and I'm erring a little on the low side too. :)
 
@peemac thanks for the information , its a great help and comforting to know its on the way soon !
@unfortunate we received our letter in january with an interest rate change on march 1 back to tracker rate of .95%. We were never on a tracker and our contract does clearly state VARIABLE interest rate, but on further inspection there is a line in the special conditions that also clearly states it was a variable mortgage but never to be more than .95% over the ECB. hope this helps
thanks again @peemac for taking the time to reply much appreciated.
 
JENNI44 said:
We were never on a tracker and our contract does clearly state VARIABLE interest rate, but on further inspection there is a line in the special conditions that also clearly states it was a variable mortgage but never to be more than .95% over the ECB.
Click to expand...

I suspect that you were on a tracker - but back in 2006 tracker rates and variable rates were almost the same and the default mortgage product sold by all the banks was a tracker, so unless you specifically asked for a SVR, you started on a tracker. "Tracker" was the marketing name, but in the contract it would say "xx% above ecb refi rate" or similar - effectively its saying you track the ecb refi rate which is the ECB rate that your hear about on the news.

So you can look forward to a very very nice cheque of over 50k in the next few weeks that has no tax implications, a reduced mortgage balance and probably a further small reduction in your monthly payment.
 
thanks @peemac , i have spent so long trying to come up with answers myself , this is the first time it really does appear to be real, will keep you all posted on any updates
 
Hey folks as the wait for compensation continues and let’s hoping it doesn’t take til end of June. when anyone does get their compensation pack can you post here to give the rest of an idea that ours is on the way.
Many thanks.
 
Hi @peemac , I can see you're helping everybody here, is it possible to ask for your help as well, 285k mortgage, 30 years, fixed for 2 years on Nov 06, SVR from nov 08 since, until June 2015, restructured, additional 7 years on 30 years mortgage, on interest rate reduction 0.5%. Until March 2018 back on 1.25% tracker on April 2018, and back on 30 years as well, thanks in advance.
 
@Kbcwaiting
I don't think the restructure will make a huge difference to the overall overpayment as rate reduction was only 0.5%, so you were still being overcharged substantially.

Your total overcharge is about 50k as its from late 2008 onwards. In addition you'll get compensation and interest on the overcharge of about 8-10k.

Depending on how the restructure was structured, a slightly higher amount than others might be taken off the capital, but you are still probably looking at a cheque of at least 35-40k and a reduced balance.
 
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