I don't understand this. Firstly, there is political pressure to abolish cashback offers, which would remove any incentive to move to PTSB. Other than that, nobody is going to tell a bank that they must take on certain business, or what their underwriting criteria should be.any move like this, apart from being unethical and perhaps illegal
Why would anyone in their right mind switch TO PTSB?
Their rates are dismal. Their treatment of existing customers appalling.
You've answered this yourself since!
Did they say current lender for 24 months, or you must have the Mortgage for 24 months? If the latter, it's understandable from a credit risk point of view.
Please explain why you think having a cash back offer is unethical or anti-competitive?There's is nothing unethical, immoral, illegal or anti-competitive about requiring a customer to demonstrate ability to repay over a period, before underwriting their mortgage. It would however be a very unusual move if they now insist on 24 months with current lender.
We're agreed that PTSB is an option so long as you've a mind to switch away again as early as possible. So basically you are switching to get their cash back, and then leg it.
You need to be certain though that you can switch again - being stuck with PTSB wouldn't be a pleasant outcome. There are cash back offers with other lenders to follow the same strategy as you have, without gong near PTSB.
The only unethical, anti-competitive practice in the Irish mortgage market at the moment, in my view, is the very existence of cash back deals.
Rather than me writing an essay on the subject, have a look at CCPC commentary, or why Fianna Fail want to abolish them. In summary, in my opinion, they mask the true cost of credit, and prevent banks competing purely on interest rate.
Its probably worth starting a separate thread on whether cash back is a good or bad thing.I think people should be able to factor in the value of cashback vs a slightly lower interest rate, and then calculate what is the best for their situation.
Were PTSB upfront about this 24 month rule as I still don't see any mention of it on their website? I've found more incompetence since I posted on this but thankfully in my favour this time with Ulster Banks 2yr fixed 2.3% rate + 1 additional year to 2021 and €250 compensation! Get it before its gone is my advice!I've been refused a switcher mortgage because of the 24 month rule, I've been with EBS for 13 months.
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