Ulster Bank Business Lending Rate review!!

Discussion in 'Banking, credit cards, etc' started by Webster, Jul 6, 2018.

  1. Webster

    Webster Registered User

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    Hi, I was wondering in relation to this latest debacle, does anyone have a copy of the bank's clause setting out the definition of what is the bank's cost of funds are, both the pre 2012 version and the later one. If so can they post it to this thread?
     
  2. IdesofMarch

    IdesofMarch Frequent Poster

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    Last edited: Jul 7, 2018
    Webster,

    Heard about this from article in the newspaper, this is like the tracker mortgage scandal but for Ulster Bank business customers. Wonder did the same type of behaviour occur in the other banks?
     
    Last edited: Jul 7, 2018
  3. Webster

    Webster Registered User

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    48
    Hi Ides,

    Its potentially more costly to the banks than the tracker mortgage scandal because of the vast sums involved, anyone out there?
     
  4. RedOnion

    RedOnion Frequent Poster

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    No, it's a bit different. Yes, the loan balances are a lot bigger, but the percentage over charged is smaller, and the term shorter.
    In the cases of non performing loans, there's no real cost to the bank, as the amount they expect to get back doesn't change.
    UB have already made a provision for it which will give you an idea of the amount involved.
    What makes it complicated is a large portion of the impacted loans were sold.
     
    MrEarl likes this.
  5. IdesofMarch

    IdesofMarch Frequent Poster

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    Hi Webster,

    Does anyone know if other banks beside UBIL made the same type "error"
     
  6. Webster

    Webster Registered User

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    What happens if the other financial institutions were at the same?
     
  7. RedOnion

    RedOnion Frequent Poster

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    Then they'll have to redress, in exactly the same manner....
     
  8. Webster

    Webster Registered User

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    48


    Thanks RED, Commercial Mortgage Holders, Check your EURIBOR RATES now, are they correct, have the banks applied the right term, 1 month, three month etc.