PTSB Success - switched from ptsb to AIB - Appeals Panel rejected my complaint, but ptsb took me back anyway!

[John Hayes]

Hi All.
I took out a mortgage with permanent tsb in April 2008 and took a fixed rate for 2 years. In april 2009 i broke the fixed rate and went variable. In january 2010 I left the bank because I got a better variable rate from AIB. I still got the letter from permanent tsb that others got offering me €1400 in compensation. This covered the 3 months from january- April 2010 I should still have been on a fixed rate. I got the same letter from permanent tsb others got....

“As a result of an investigation by the Central Bank of Ireland permament tsb has identified a failure which it made in connection with the management of certain mortgage accounts including the account identified above… a common theme is that customers who should have been able to move their permanent tsb mortgage to a tracker rate mortgage some time ago may not have done so because of a failure by permanent tsb. We apologise sincerely for this failure.”

By offering me compensation permanent tsb are acknowledging an error on their part. Ive asked them to allow me move back to permanent tsb and avail of a tracker rate and Ive asked them for additional compensation. They've rejected my appeal but Ive appealed to the ombudsman.
The reason I am appealing is permanent tsb never informed me I would lose my contractual right to a tracker rate mortgage (I never read the small print in the terms and conditions!)
Am I being greedy?
Is there anyone else in a similar position?
Thanks
John

 

[Thomas]

Hi All.
I took out a mortgage with permanent tsb in April 2008 and took a fixed rate for 2 years. In april 2009 i broke the fixed rate and went variable. In january 2010 I left the bank because I got a better variable rate from AIB. I still got the letter from permanent tsb that others got offering me €1400 in compensation. This covered the 3 months from january- April 2010 I should still have been on a fixed rate. I got the same letter from permanent tsb others got....

“As a result of an investigation by the Central Bank of Ireland permament tsb has identified a failure which it made in connection with the management of certain mortgage accounts including the account identified above… a common theme is that customers who should have been able to move their permanent tsb mortgage to a tracker rate mortgage some time ago may not have done so because of a failure by permanent tsb. We apologise sincerely for this failure.”

By offering me compensation permanent tsb are acknowledging an error on their part. Ive asked them to allow me move back to permanent tsb and avail of a tracker rate and Ive asked them for additional compensation. They've rejected my appeal but Ive appealed to the ombudsman.
The reason I am appealing is permanent tsb never informed me I would lose my contractual right to a tracker rate mortgage (I never read the small print in the terms and conditions!)
Am I being greedy?
Is there anyone else in a similar position?
Thanks
John

When you say they rejected your appeal was that PTSB or the customer appeal panel?

 

[roncondon]

Hi All.
I took out a mortgage with permanent tsb in April 2008 and took a fixed rate for 2 years. In april 2009 i broke the fixed rate and went variable. In january 2010 I left the bank because I got a better variable rate from AIB. I still got the letter from permanent tsb that others got offering me €1400 in compensation. This covered the 3 months from january- April 2010 I should still have been on a fixed rate. I got the same letter from permanent tsb others got....

“As a result of an investigation by the Central Bank of Ireland permament tsb has identified a failure which it made in connection with the management of certain mortgage accounts including the account identified above… a common theme is that customers who should have been able to move their permanent tsb mortgage to a tracker rate mortgage some time ago may not have done so because of a failure by permanent tsb. We apologise sincerely for this failure.”

By offering me compensation permanent tsb are acknowledging an error on their part. Ive asked them to allow me move back to permanent tsb and avail of a tracker rate and Ive asked them for additional compensation. They've rejected my appeal but Ive appealed to the ombudsman.
The reason I am appealing is permanent tsb never informed me I would lose my contractual right to a tracker rate mortgage (I never read the small print in the terms and conditions!)
Am I being greedy?
Is there anyone else in a similar position?
Thanks
John

Hi John
We have similar situation.havent put our appeal in yet. I would like to know if you appealed to the appeals board or straight to the bank, did you trade up or take out more money when you switched.
This seems to go against what ptsb told Brendan and Padraic at their meeting.

 

[John Hayes]

Hi John
We have similar situation.havent put our appeal in yet. I would like to know if you appealed to the appeals board or straight to the bank, did you trade up or take out more money when you switched.
This seems to go against what ptsb told Brendan and Padraic at their meeting.

I switched to AIB and they paid off the loan. I didnt get any additional money from AIB. I appealed to the customer appeals panel looking to move back to permanent tsb on a tracker rate mortgage and i asked them for €30000 in compensation but they rejected both saying the bank was not liable.

 

[Thomas]

Did they say why the bank was not liable even though PTSB publicly stated in meeting with Brendan Burgess and Padraic Kissane that they would look favourably on taking switchers back and have done so in earlier cases.

 

[John Hayes]

Did they say why the bank was not liable even though PTSB publicly stated in meeting with Brendan Burgess and Padraic Kissane that they would look favourably on taking switchers back and have done so in earlier cases.

I will upload the document later today.
The financial ombudsman has asked me to consider mediation before they formally investigate my case. Is this a route I should take? I can always reject any recommendation and proceed with my complaint. The tracker rate mentioned in some forums here of 3.3% isn't very favourable considering I am currently with AIB on a 4.5% fixed rate

 

[Thomas]

Have you progressed this with the ombudsman?

 

[John Hayes]

Just to update people on an appeal I have with the Ombudsman:
My fixed rate with permnanent tsb was due to lapse in January 2010. I left the bank in April 2010. I asked for my tracker rate back at 1.1% and a refund/redress of €30000 for the money I have overpaid in mortgage repayments vs the money I should have repaid. I appealed to the Ombudsman and Permanent tsb wrote back with the following.
Bank’s proposal to settle the complaint-
1. Offer Tracker Mortgage of ECB + 3.25% - subject to applicants meeting our credit criteria

2. Redress in line with Mortgage Product Review. Redress calculation to show a Mortgage balance adjustment figure together with a net overpayment figure. Customer will need to provide statements on his AIB Home Loan from 2010 to date to assist with Redress Calculation. It is proposed the Bank offer to take back the Mortgage less the Mortgage balance adjustment amount i.e. the Tracker Mortgage offered by the Bank together with the Mortgage balance adjustment figure will be used to clear the AIB Mortgage with the net payment amount being paid to the customer

3. Legal expenses (i) moving to AIB (ii) returning to Permanent TSB to be paid – customer will need to provide proof of expenses

This isnt worth very much to me as the ECB rate in January 2010 was 1% so they would calculate my redress based on an interest rate of 4.25%. I broke from my fixed rate in January 2009 (without a penalty!). Does anyone think I should be offered the tracker rate that permanent tsb had in 2009 of ECB +2.25% as opposed to the rate of ECB +3.25% that was being offered in January 2010. My contract doesnt gve a specified interest rate but it says
"On expiry of the fixed rate period without affecting the entitlement of the applicant to apply at any time to fix the rate for a further period (if available), the interest rate applicable to the loan will be the then Permanent tsb tracker mortgage rate appropriate to the loan...."
Could breaking from my fixed rate early work to my advantage by entitling me to the tracker rate that was on offer in January 2009 as opposed to that on offer in January 2010?
Paul.