New rates from AIB

S

Sarah W

Registered User
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1,169
AIB new rates with effect from 12/2/07 Main Residence only.
The new rates are:

New tracker bands Lifetime tracker rates Margin
LTV = 50% 4.10% (APR 4.17%) 60bps
LTV > 50% or = 80% 4.25% (APR 4.33%) 75bps
LTV > 80% < €500k 4.60% (APR 4.69%) 110bps
LTV > 80% >= €500k 4.40% (APR 4.48%) 90bps

There is also a discount for the first year:

New tracker bands 1st year discount tracker Margin
LTV = 50% 3.95% APR (4.15%) 45bps
LTV > 50% or = 80% 3.95% (APR 4.29%) 45bps
LTV > 80% < €500k 4.10% (APR 4.63%) 60bps
LTV > 80% >= €500k 4.10% (APR 4.45%) 60bps

Sarah

www.rea.ie
 
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Does this apply to new mortgage applications only?

I currently have a tracker mortgage with AIB with LTV < 60%, on current scale.Mortgage only 6 months old and valuation that AIB received on property is at < 50%, which means I could qualify for new rate.. LTV = 50%
 
It appears those rates apply to everyone not just switchers, some sample news coverage here:

AIB lowers tracker mortgage margins
[SIZE=-1]RTE.ie, Ireland - 22 hours ago[/SIZE]
[SIZE=-1]AIB says it has dropped the margins on its mortgage tracker rates, which shadow the European Central Bank's main interest rate. ...[/SIZE]
AIB starts mortgage war by slashing home loan rate
[SIZE=-1]Irish Independent, Ireland - 5 hours ago[/SIZE]
[SIZE=-1]ALL-OUT war was declared in the mortgage market yesterday after AIB slashed its home loan rates. It is the first time one of the large domestic banks has ...[/SIZE]
AIB drops its mortgage tracker rates
[SIZE=-1]FinFacts Ireland, Ireland - 16 hours ago[/SIZE]
[SIZE=-1]By Finfacts Team. AIB has expanded its range of tracker rates for owner occupier mortgages and dropped its margins to give what it says is more choice and ...[/SIZE]
Mortgage war escalates
[SIZE=-1]Unison.ie (subscription), Ireland - Jan 30, 2007[/SIZE]
[SIZE=-1]Last week, Ulster Bank announced a tracker rate of 4.25pc, which would undercut the majority of lenders in the market. This comes soon after Halifax (Bank ...[/SIZE]
 
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I just contacted Home mortages at AIB. I was told that the new rates apply to only new mortgage applications. When I told them of my appointment with NIB next week, she came back to say that there may be further announcements in the coming weeks which may apply new rates to existing mortgage holders, but that they (employees at home mortgages)did not know of them yet.
Either way I think I will keep my appointment and go visit NIB.
 
I'd go back to your manager and remind them of what they said yesterday when they announced the new rates.

"These new rates are a completely standalone offer. They are not restricted to customers who are switching their mortgage from another financial institution and neither do they oblige customers to open a current account or any other type of account, as required with some of the more recent market offerings."
 
I just rang my own AIB branch and I was told that existing Mortgage holders can avail of this LTV mortgage. She's supposed to get back to me with more details. She said all I need is a valuation report.
 
My branch just got back to me. As an existing AIB customer I would be dropping from 4.6% to 4.1%. She gave me a rough estimate of my monthly repayments. Once I send in a valuation report she said they will do the rest.
 
uncorked said:
My branch just got back to me. As an existing AIB customer I would be dropping from 4.6% to 4.1%. She gave me a rough estimate of my monthly repayments. Once I send in a valuation report she said they will do the rest.
Click to expand...

I've been in touch with AIB Homeloans and my AIB branch - neither have mentioned a valuation report.
 
uncorked said:
Did you ask?
Click to expand...

I asked what I needed to do to avail of their new rates.

They both explained that what I need to do is send in a letter or fax, signed by mortgagor(s), detailing address of property, mortgage account number(s), and asking to move to the new rate.

I'd expect that if they needed a valuation report in addition to that letter,
they would have mentioned it.
 
Glad to see AIB have woken up:) I moved from them to Halifax/BoS 6 months ago. When I rang the AIB to get my current outstanding mortgage balance, I would have expected alarms bells and a couter offer from them, but no, the only communication I got was a thank you letter after I moved!
 
Sarah W said:
AIB new rates with effect from 12/2/07 Main Residence only.
The new rates are:

New tracker bands Lifetime tracker rates Margin
LTV = 50% 4.10% (APR 4.17%) 60bps
LTV > 50% or = 80% 4.25% (APR 4.33%) 75bps
LTV > 80% < €500k 4.60% (APR 4.69%) 110bps
LTV > 80% >= €500k 4.40% (APR 4.48%) 90bps

There is also a discount for the first year:

New tracker bands 1st year discount tracker Margin
LTV = 50% 3.95% APR (4.15%) 45bps
LTV > 50% or = 80% 3.95% (APR 4.29%) 45bps
LTV > 80% < €500k 4.10% (APR 4.63%) 60bps
LTV > 80% >= €500k 4.10% (APR 4.45%) 60bps

Sarah

www.rea.ie
Click to expand...


Sarah, thanks for the information.

I can never remember the current ECB rate, so what is the margin on these rates (+ECB%) and also what happens 1st year discounted tracker after the first year? Finally and forgive my ignorance whats "bps"?

aj
 
aaa1 said:
I'd go back to your manager and remind them of what they said yesterday when they announced the new rates.

"These new rates are a completely standalone offer. They are not restricted to customers who are switching their mortgage from another financial institution and neither do they oblige customers to open a current account or any other type of account, as required with some of the more recent market offerings."
Click to expand...

I am in my 1st year of a discount tracker with AIB, current rate 4.25% LTV (as of last July) = 67%
I just rang AIB & asked if I could switch to the new 1 year discount tracker rate of 3.95% on the 12th Feb for the remainder of my 1st year, they told me that these rates will only apply to new customers on drawdown.
I queried this & mentioned the statement above but the guy checked with his manager & that was the message back... new customers only for discount tracker rates.
 
I contacted my branch and asked them about moving to the new rates. Differing from what Home mortgages had told me earlier in the day, they said it could be done. They requested a letter with my signature which I have since posted!
 
fionahere said:
I contacted my branch and asked them about moving to the new rates. Differing from what Home mortgages had told me earlier in the day, they said it could be done. They requested a letter with my signature which I have since posted!
Click to expand...


Do you mind me asking are you on a 1st yr discount? Mortgage unit told me can only switch to new lifetime rates but can't switch to new 1 yr discount rate even though I'm in my first year... new customers only.
Unfortunately I don't have a branch to check this out with.
 
Hi Dillons, no I dont have any first year discounted rate. Not sure why. I dont know if it applied to LTV <60% tracker rate which I am on.
 
Is a pity BoI would not awaken from their deep comatosed mindset. It usually takes every other institution to start off the race before BoI notice they've been left at the starting blocks. I'd nearly half expect BoI to raise rates soon thinking thats what all other lenders are doing, before realising that rates are dropping :eek:

When I contacted BoI, they said "would I be happy with +0.9%" - why would I buy something thats the same, but more expensive from BoI?????

My forms are in with NIB, so I look foward to reduced payments monthly:D

BobS
 
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