Lost UB Tracker the switched to AIB - deemed impacted

Discussion in 'Tracker Redress' started by Pat123, 22 Nov 2017.

  1. Pat123

    Pat123 Registered User

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    Last edited by a moderator: 2 Jan 2019
    I have extracted all the posts from Pat 123 from separate threads into one thread to view it as a case study - Brendan

    Hi Brendan, my situation is almost identical i.e. was with UB from 2005 to 2010. Came off fixed rate in 2008, and should have been offered a tracker at that point.
    Moved to AIB in 2010 and topped up by 15K also.
    Received a cheque yesterday from UB along with the documents explaining it all.
    According to the documents, when I left in 2010, I was paying 250 euro more than I should have. I overpaid about 6K in total.
    I would never have moved to AIB if I had been on the Tracker at the time, as the top-up was only to purchase a car and pay off a credit card bill.
    I wouldn't have needed the top up if I had been on a Tracker mortgage at UB at the time, as I would have been 6K and 250 euro a month better off.

    My wife and I are very angry at this as those few years were very difficult financially for us, and if we had been on a tracker, it would have been much more manageable.

    Ideally, I would like UB to compensate me for the thousands I overpaid in the last 7 years towards my AIB mortgage, and also get back on a tracker mortgage with UB.
    So, what should be my initial step be ?
    Should I telephone the help line first ?
    Or write to UB ?

    Thanks in advance.
     
    Last edited by a moderator: 2 Jan 2019
  2. Pat123

    Pat123 Registered User

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    Thanks again Brendan.
    What about being compensated for the money (about 15K) that I lost by moving to AIB for 7 years, when I would have stayed with UB if I had been on their tracker rate ?
    What is your opinion on that ?
     
  3. Pat123

    Pat123 Registered User

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    Hi Brendan
    I don't think I explained my query properly.

    I received a cheque from UB this week (for the period 2008 to 2010) when I should have been on a Tracker Rate.
    I moved my mortgage to AIB in 2010, and am still with them.
    Should UB compensate me for the period 2010 to 2017 ?

    Thanks.
     
  4. Brendan Burgess

    Brendan Burgess Founder

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    Yes, they should.

    Brendan
     
  5. Pat123

    Pat123 Registered User

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    Similar question to previous poster.
    Received the Appeal form this week, and also received my mortgage statement from AIB going back to 2010.
    Shoud I fill out the Appeals form, enclose all the AIB statements, write a covering letter, and send it all to UB requesting them to compensate me for the period 2010-2017 and put me back on a Tracker ?
    Should I write a letter of complaint to the Central Bank also, and include all the same documentation ?
    Thanks again.
     
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  6. Pat123

    Pat123 Registered User

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    Ok thanks notabene. Your situation is almost identical to mine which is why I am so interested!
    You said in your original post that UB will "take my current mortgage back, exactly as it currently is, but on the original tracker rate of ECB +0.85%"
    But, it shouldn't be exactly as it currently is. It should be for a lesser amount
    (see Brendan's post - https://www.askaboutmoney.com/threads/calculating-the-refund-when-a-tracker-is-restored.189328/)

    So, it should be for a lesser amount (on the rate of ECB + 0.85%), AND you should receive a cheque for the overpayment for the period 2009-2017.
    Maybe this is what you meant above, and I am just not interpreting it properly.

    From reading other posts, I can't see why they will not accept the tracker rate for the life of the mortgage.
     
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  7. notabene

    notabene Frequent Poster

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    Hi @Pat123

    There was a cheque for overpayment plus interest accrued (as they can't put the interest off the mortgage when it is with another provider)

    I can put that off the mortgage should I choose to do so.

    But they are willing to take the current full balance of the mortgage as it stands now with the other provider (including a topup taken when the mortgage was moved) back on the rate ECB +0.85. I can knock money off if I want or transfer the full balance as it currently is if I want either is what I meant. - hope that is a bit clearer?

    The tracker is on the mortgage provided nothing is done to change it ie if you fixed again, it's gone and you won't get it back - unlike the original contract which guaranteed the tracker for the life of the mortgage - they've cleaned up the contract to favour them is what has happened there ;-)
     
    Pat123 likes this.
  8. Pat123

    Pat123 Registered User

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    Thanks notabene, much appreciated.
     
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  9. Pat123

    Pat123 Registered User

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    I received my redress and compensation from UB on Nov 16th last.
    I had a mortgage with them from 2005 to 2010 but switched to AIB (obviously if I had been offered the tracker rate, which should have happened, I would have stayed with UB).

    I later received from UB for the Eligibility Assessment form to apply for a new tracker rate mortgage with UB. For some reason, I thought I had 12 months to apply, but I just noticed that I have only 6 months, which ends next Wednesday (16th May)!
    The problem is that, with this form, I need to enclose certified copies of (i) the Letter of Offer from AIB in 2010, (ii) the Valuation certificate, and (iii) Mortgage Statements from drawdown to date.
    I actually have the mortgage statements but not the other two. I will be calling AIB tomorrow morning to try and get these asap, but I'm not optimistic about getting these on time.

    In the event that I do not receive these by Monday next, what should I do ?
     
  10. notabene

    notabene Frequent Poster

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    Have they made you an actual loan offer? As far as I was told it wasn't from the date of the compensation letter, but when the loan offer was made which would be after your mortgage approval was passed. But I know they have said differing things to customers. Confirm this with them tomorrow

    See if AIB can give you your statements online, they will take these as emailed files if you download and save them. With BOI it normally takes about 24hours or so for them to put them on your bankonline so this might help you out too
     
  11. Pat123

    Pat123 Registered User

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    Thanks for the replies.

    The following was stated as Point No 6 on the Eligibility Assessment form
    "Please note you have 6 months from the date of your redress and compensation letter to submit an Eligibility Assessment Form"

    I will phone AIB first thing in the morning, and ask them if they can email me the Letter of Offer and the Valuation Cert.
    They mention that the copies of these documents must be certified.
    Does that mean an emailed version will not suffice ?
     
  12. Pat123

    Pat123 Registered User

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    Just an update in case anyone else is in a similar position.
    Spoke to a very helpful guy in UB who said there's a bit of wiggle room in the 6 months and I'll be ok even if I am a bit late with the Eligibility Assessment form. However, I said that I wanted to submit the form in time, and he just said to send what I have, with a covering letter explaining that the rest of the docs will be a little late.
    When I phoned AIB to request the Letter of Offer and Valuation report, they said it will take up to 10 working days, and there didn't seem to be any way to get them to move any quicker. Also, the UB guy said that emailed docs wouldn not be accepted, that I need the certified copies.
     
  13. Pat123

    Pat123 Registered User

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    I received a cheque in November for amount overpaid while I was with UB.
    Left UB in 2010 and have had a mortgage with AIB since.
    I have requested to be put back on a tracker with UB at the rate of ECB +0.85.
    This week I received a letter from UB stating that they are offering to return my mortgage to UB at this rate, which is great.
    They will pay the cost of transferring the mortgage.
    They also say that I am entitled to an interim redress payment which will compensate me for the period between 2010 (when I moved from UB) to date.
    I'm assuming this means that they will pay me the amount I overpaid in that period.
    They enclosed a form where I just need to indicate if I want to accept the rate they are offering.
    On receipt of this, they will contact me by telephone to progress the application.
     
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  14. Brendan Burgess

    Brendan Burgess Founder

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    HI Pat
    That is great news but should be as expected.

    The only reason they are making an interim payment is because they have not been able to calculate the full compensation and won't be able to do it until the switch is complete.

    I wonder if it's worth asking them for a cash settlement instead of moving back to them? They will probably refuse, but it could be worth a shot.

    Brendan
     
  15. Pat123

    Pat123 Registered User

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    Hi Brendan, why would I ask for a cash settelment when I can return my full mortgage at a rate of ECB + 0.85 ?
    You obviously have a reason but I don't understand.
    My mortgage repayments will reduce by about 250 euro per month.
     
  16. Brendan Burgess

    Brendan Burgess Founder

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    Let's say you have a tracker mortgage of €100k @ ECB + 0.85% with 20 year left. The repayments would be €453 per month.

    Now let's say that the lender offers you €20k cash to pay the mortgage early.

    You go down the road to AIB and borrow €80k @3.5%. The repayments would be €463 per month.

    You should grab that offer.

    This is just an example. The discount depends on a few factors - mainly the ECB rate and the term remaining.

    But that illustrates the point of why UB might do it.

    Brendan
     
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  17. Pat123

    Pat123 Registered User

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    Brendan, I looked at your example above again, and I'm still not understanding. You say I should grab that offer but my repayments will have gone up by €10/month !
    Surely, I should only take it if the repayments came down, e.g. if they offered my 25K. That would make monthly repayments = €435.
     
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  18. Pat123

    Pat123 Registered User

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    First the good news, and the bad news is not so bad really.

    3 months ago, I received a compensation cheque from UB for the period 2010 upto 2018. We were delighted as it meant that we could pay off my credit union loan, credit card and overdraft
    which was great. Ulsterbank have also restored our tracker rate mortgage (ECB +0.85%), it means our mortgage repayments have decreased by 200 euro/mth.
    Between this and having no more loans, it has meant we have €700 extra per month which is massive for us.

    To be honest, I'm wondering why our outcome was achieved without too much work/stress on my side, others seem to have much more difficulty getting a result.
    I just made sure that I submitted all the forms correctly, I rang the help centre regularly just to make sure that they had received all my forms, and that my case was actually being processed.
    The help centre were never able to give me too much detail on my own situation but were able to reassure me that progress was being made on my application.
    I also went to my local branch a few times, they were reasonably helpful as they were able to check online if there were any forms that I hadn't submitted that were holding up the process.
    They weren't able to answer any questions on my own individual case - they just didn't have access to that kind of information.

    The slightly bad news is that I think they have underpaid us, I calculated that we should have received €5000 more that we did receive.
    When I phoned them about this, they would not give me a breakdown of how they did their calculations.
    No real surprise there.
    I had also submitted my credit union statements, as I am expecting them to reimburse me the interest I paid on this (as I would not have needed the loan if I was on a tracker).
    There are a few other small items as well that I will be appealing.
    I phoned UB about this but the person on the phone was no help, he sent me an appeals package, so I will continue with to this to try and recoup the rest of what I am owed.

    Having said all that, we are absolutely delighted to have achieved as much as we have.
    Thanks very much to Brendan and all the other posters here.
    A huge thank you to Notabene who has been a great source of inspiration to me - she has paved the way for the rest of us with her determination and resolve.

    If anynbody has any specific questions, please mail me.

    Thanks again

    Pat
     
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  19. elcato

    elcato Moderator

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    Hi Pat - Well done. This is a result of the appeal through the BDO, right ? When you say you will appeal I presume this is to the Financial Ombudsman ?
     
  20. Pat123

    Pat123 Registered User

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    I actually haven't gone through any appeal process yet.
    After receiving my initial payment, I then sent away for the Eligibility Pack to apply for a new mortgage with UB (at the rate I should have been on i.e. ECB + 0.85%).
    I can't remember the exact documentation - I don't have it with me at the moment.
    During this process, UB also said that I was entitled to an interim redress payment which was to compensate me for the period between 2010 (when I moved from UB) to date.

    So, I had 3 separate outcomes.
    1. I received a cheque for €9000 in November 2017.
    2. Received a subsequent cheque for €46,000 in November 2018.
    3. Had my UB tracker mortgage reinstated in Nov 2018 (saving me €200/mth on repayments).

    I am now appealing the figure of €46,000 because I think it is less than it should have been.