The Central Bank has been too passive in dealing with the tracker issue

Discussion in 'Tracker Redress' started by elacsaplau, 9 Mar 2019.

  1. elacsaplau

    elacsaplau Frequent Poster

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    Last edited: 9 Mar 2019
    Well said - would there still be any need for the AIB Tracker Campaign Committee if the Regulator is capable of regulating?
     
    Last edited: 9 Mar 2019
  2. Brendan Burgess

    Brendan Burgess Founder

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    Let's look at the Central Bank in a balanced way....

    First, they were very slow to do anything about the tracker issue. Deduct marks for that.
    Second, they persuaded the lenders to go well beyond their legal obligations. About 30,000 borrowers have got significant redress. My guess is that about 1,000 of these would have succeeded in the Ombudsman's Office if they had taken a complaint. A big plus for the Central Bank.

    AIB was absolutely clear that these 6,000 borrowers have suffered no loss and so they were refusing point blank to even write to them telling them that there had been an issue.

    The Central Bank persuaded AIB to write to all of them and give them the right of appeal - a big plus for the Central Bank.

    AIB refused to go any further. It is not the role of the Central Bank to make a legal determination. That is up to the courts. So even if the Central Bank believes that the borrowers have a strong case, they can't force AIB to concede it.

    Governor Lane at the Oireachtas Committee appeared to lend support to AIB's case by saying that the tracker rates would have been much higher. I will deduct marks for that.

    Derville Rowland later rowed back from that.

    So overall? Late to the party, but a good performance since they arrived. Maybe 8/10.

    Brendan
     
  3. Inquisitor

    Inquisitor New Member

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    I am a banking insider I volunteered to become a whistle blower for the Central Bank of Ireland (CBI). Believe me, the number of tracker mortgage holders impacted by the so called review is far in excess of the 40,000 cases quoted above. However, after engaging with them and the CBI accepting me, I got an email saying that my whistleblowing will get no feedback whatsoever and quoted section 33ak of the Central Bank Act 1942. (This refers to confidentiality between the CBI and banks operating within its jurisdiction.)

    When this statute became law in 1942, the CBI had no consumer protection role or function whatsoever. The CBI is now is the de facto statutory body charged with overall consumer protection within financial services on a macro level. The buck stops with it, so as to speak. It appears to me to be a ludicrous situation that, as a whistle blower for the CBI, the CBI will not furnish me with any feedback whatsoever. I think this goes against the whistle blower's charter as drafted by Government. Indeed it may go against certain EU directives. Such invoking of this Act by the CBI is very convenient, if you want to keep the lid on things! Consumer protection my foot.
     
  4. elacsaplau

    elacsaplau Frequent Poster

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    Let's look at the Central Bank in a balanced way....

    Did all banks comply with the CPC code in all cases where customers still have complaints?

    If not, what has the Regulator of the CPC done about it?

    My view of the CB's performance in the two cases in which I am very very familiar is FAIL, as in, 2 maybe 3 out of 10!

    It is not the role of the CB to make legal determinations - it is its role to regulate.
     
    RETIRED2017 likes this.
  5. RETIRED2017

    RETIRED2017 Frequent Poster

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    Before this is finished the State could finish up picking up a large tab,
     
  6. Sarenco

    Sarenco Frequent Poster

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    I know this isn't a popular view but I wouldn't congratulate the Central Bank for not respecting the actual contract wording. I think that's positively dangerous.

    Proper regulation should be grounded on clear, published rules - not the Central Bank's ever evolving "expectations".
     
  7. TMH2017

    TMH2017 Frequent Poster

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    if i was working in a private company and there was a serious issue in the area i had responsibility for and i did very little to address the issue for 8 years i don’t think i would be getting an 8 out of 10 rating in any performance review

    anyway its only forces outside the central bank (press, politicians, advocates like yourself and padraic kissane) pushing this issue who have got us to this stage
     
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  8. moneymakeover

    moneymakeover Frequent Poster

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    @Inquisitor

    I understand you are annoyed not getting feedback

    But more importantly, do you think the central bank is taking onboard the information you have provided?
     
  9. Brendan Burgess

    Brendan Burgess Founder

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    Hi TMH

    There are individuals in the Central Bank who have done a terrible job. But I feel that they have been replaced by some of the current people who are doing a good job. I don't know the individuals well enough to know how long they have been there.

    Brendan
     
  10. October2019

    October2019 Registered User

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    I am absolutely flabbergasted by this inquisitor, I shouldn’t be at this stage but I really am, maybe you should talk to a politician about this?
     
    WhiteCoat likes this.
  11. Bronte

    Bronte Frequent Poster

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    Honestly BB this is a crazy view. The CB failed massively. The banks committed powerful financial chicanery on many people. We had no hope. I took a case against UB to the ombudsman never knowing I had zero chance of succeeding after months of ‘letters’ to not answer me from UB ( I have the files if UB threatens you in relation to my post).

    You always omit to say that the little guy against the big bank should have strong suppport from the CB.
     
  12. Brendan Burgess

    Brendan Burgess Founder

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    The Ombudsman and the Central Bank are different institutions.

    Are you now saying that the Ombudsman failed you because they did not uphold your complaint?

    Brendan
     
  13. elacsaplau

    elacsaplau Frequent Poster

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    Well said, Bronte

    Does anyone, apart from our honourable leader, believe that the CB has regulated well?

    I once was at a speech given by Ms. Rowland of the CB. She had a slide presentation which had at the outset something along the lines that compliance with the Consumer Protection Code was not just about ensuring that its provisions were followed. Compliance, she said, was about embracing the spirit of the CPC, about "doing the right thing when no one was watching". Such a beautiful soundbite!

    When the presentation was finished, an intelligent observer made the following cooment during the Q&A. He said that it seemed to him that banks had directly ignored many of the provisions of the CPC and that they had "not done the right thing even when everyone was watching." He went on to say that it was the CB's duty to be watching, to be the watchdog and that the banks seemed to be as fearful of this watchdog as a thief would fear an incapacitated poodle. Colourful language and imagery and when Ms. Rowland tried to reply it was obvious to all present that these simple observations left no credible response.
     
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  14. Brendan Burgess

    Brendan Burgess Founder

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    About 30,000 people have got significant redress following the restoration of their trackers. ( 40,000 in total, but about 10,000 were very small.)

    Before the redress scheme set up by the Central Bank, how many do you think got their tracker back due to complaining directly to the lenders or by going to the Ombudsman or by going to the courts?

    Brendan
     
  15. WhiteCoat

    WhiteCoat Registered User

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    This is a damning post. Do I believe it? Absolutely.
    Am I surprised? Absolutely not.
    The Central Bank is still not delivering on its consumer protection role. Thank goodness for the Finance committee who at least has attempted to watch this visually impaired watchman.
     
  16. RETIRED2017

    RETIRED2017 Frequent Poster

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    Most sitting on the finance committee only wanted poodles in the CB before meltdown,
    To be fair to the Central Bank of late ,there requirement to inform Mortgage holders of there best rates is having an affect on lowering mortgage interest rates,
     
  17. kb_whatsgoingon

    kb_whatsgoingon Registered User

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    Over the past year of researching the tracker mortgage issue I am utterly utterly shocked by what the banks have done and continue to do - i can see little to praise the CBI for in all this - where were they this past 10-15 years - its truely shocking what has been allow to happen- my advice if you can at all manage it - stay as far away as possible from any of these corrupt irish banking organisation
     
  18. Inquisitor

    Inquisitor New Member

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    Last edited: 12 Mar 2019
    Brendan, without losing anonymity, the CBI's reply reads:

    Please note, in accordance with our statutory obligations of confidentiality, the Central Bank cannot provide any details on whether or not any action is taken as a result of disclosures received.

    We look forward to hearing from you.

    Best regards,

    Protected Disclosures Desk

    CBI address details

    T: 1890 130014
    E: confidential @ centralbank.ie (cant post any link until I have 10 messages on the forum)

    Believe it or not.
     
    Last edited: 12 Mar 2019
  19. Brendan Burgess

    Brendan Burgess Founder

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    Hi Inquisitor

    That proves it so.

    :rolleyes:

    Brendan
     
  20. Inquisitor

    Inquisitor New Member

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    When I get to 10 messages I will try to upload the original to this site in all it's glory, for ye of little faith to see. Why don't you phone your contacts in the CBI (I presume you have one or two), they will confirm that this is the CBI's response regarding protected disclosures (protecting whom I wonder!)