I am presently in the process of switching my mortgage to Ulster bank from IIB to avail of the lower interest rates available in my case from Ulster Bank. (0.75% above ECB)
I have nearly closed the switch, and am awaiting issue of cheque. On Tuesday morning I heard some guy on the news talk breakfast show talking about how Ulsterbank will give new switchers €1000 cash and pay all legal fees for mortgage switches between 02nd April 2007 and 02nd June 2007.
Of course I asked my broker if this was available for me as I had not closed yet. It wasnt available in my case.
It is only available for New applications made on or after the 02nd April, and these switches must be closed out by the June 2nd deadline or else you do not get your €1000. Also I was told it is only available directly through Ulster Bank (Not available through a broker at the moment), You must use one of the nominated solitors that Ulsterbank have on their panel and you will be tied in for at least 3 years (probably 5) with a clawback if you switch again within that time.
My broker believes that this is a marketing ploy on Ulsterbanks behalf to grab the only boyant market out their at the moment- switcher mortgages. He has heard that First time buyer mortgage applications, investment business and residential trader upper mortgage applications have slowed considerably in the last few months and this is Ulster banks response.
Intreguingly I was told Ulster Bank will not be widely advertising this offer on the media after the start of April as they do not want to encourage a "Mortgage Switching " culture.
Thats just plain weird in my opinion, You either have an offer and promote it as such or you dont bother at all.
Hope this helps
Shammy