EBS What does an EBS "Variable Base Rate" mortgage mean?

whyindeed

Registered User
Messages
14
whatsgoinon, I don't have access to that early paperwork apart from the original agreement which only mentions 'variable base rate' and 'fixed rate. The 'variable base rate' is not defined anywhere on this document!
 

Jennybaby

Registered User
Messages
44
Thank you all for your help

The rate attached was I believe the rate that was available on that day that I approached them for the mortgage.

Yes the above hand written page is as clear as mud. I chose initially to go fixed as that was the only 1 I knew anything about. When I spoke with colleges at work they said the Tracker was best.
I went in and asked for the trackTr Before signing any contracts.
I was told you can't change your mind as the paperwork is done. Sure we will look at it when the 3 years fixed is up.

The rate on my contract the variable Base rate was the rate for that day. That is 3.65 +1% =4.65 the tracker rate.
Again this is my interepation.

The ombudsman said if I wanted to go legal to find out the answers to my questions, to do so as he is impartial and cannot give me advice or answer my questions.

I am quering my mortgage since 2010. I kept telling staff in an office what happened to me when I wanted the Tracker mortgage and never once did they ask me if I wanted to put in an official complaint.
This is also part of my case with the ombudsman.
I only heard about the ombudsman on the radio 5 years ago.
I went into the branch and said I wanted to go to the ombudsman.
I was then told I would have to put in an official complaint. If I wasn't satisfied with the outcome then I could go to the ombudsman.

You are correct I am barely paying my mortgage never mind take on the Ebs.
Thank you all for your advice
 

Jennybaby

Registered User
Messages
44
25th July 2017 the Central Bank and Financial Services Authority of Ireland (Amendment) Act 2017 was enacted. This legislation amends the jurisdiction of the Financial Services Ombudsman with particular reference to the 6 year limitation period.
http://www.irishstatutebook.ie

I received a mail stating that the bank is upset that we are not going backwards to Mediation.
So I replied and highlighted the issues that we have all highlighted here.

Thanks for your support.
 

Jennybaby

Registered User
Messages
44
Hi folks
Just looking through the hbguide under jargon buster pg 47of 51

"Variable Base Rate is defined as the Standard Variable Rate"

Is this hbguide definitely the original 2004-2008 guide?
 

Jennybaby

Registered User
Messages
44
Hi kbwhats goingon
Please check that the hb document is definitely the document from 2004-2008
On Jargon buster pg 47 it states

Variable Base Rate is Standard Variable Rate
 

B26354

Frequent Poster
Messages
254
Hi kbwhats goingon
Please check that the hb document is definitely the document from 2004-2008
On Jargon buster pg 47 it states

Variable Base Rate is Standard Variable Rate
They might call it their standard variable rate in that document but evidence indicates it is not a standard variable rate as we know it i.e. the bank can’t change the rate at their own discretion because documentation has shown that the variable base rate is linked to a central bank base rate (ECB base rate) with a specific margin above that rate (+1.25%). This is not a standard variable rate.
 

Jennybaby

Registered User
Messages
44
Thank you for your response.
So there is proof that it is Not a Standard Variable Rate..
Where can I find the evidence?
Thanks for clearing this up.
 

B26354

Frequent Poster
Messages
254
Start from the beginnning of this thread & read through each page. Lots of documentation confirming the variable base rate is linked to the ECB base rate at a specific margin. It’s not a standard variable rate whatever EBS says. It’s a post truth strategy by EBS; I can tell you my dog is actually a cat but that doesn’t make it a cat!
 

kb_whatsgoingon

Frequent Poster
Messages
52
Hi Jennybaby - re page 47 its says

1) ' base rate' not 'varaiable base rate'
2) it does not say 'standard variable rate'
3) it contradicts what is in noted on the previous pages under what the EBS describe as the interest rate options available to a lender i.e in their list of Interest rate Options and how the state at the outset that in ireland our interest rates reflect those set by the ECB.

its a jargon buster thats in conflect with other information provided in the document

You have to wonder who was in charge of this bank at the time - how could EBS staff selling and ADVISING their customers on buying mortgages in this EBS organisation actually do this job if they can't produce a guide for buying mortgages that does not simply spell out what they are selling - its really not that hard?
 

kb_whatsgoingon

Frequent Poster
Messages
52
jennybaby check out page 4 and 6 of the guide
steps 1 and 7
Did they give you 'good advice'

looks like they gave you a lot of figures anyway :)

Did they 'help' you fill out your form?

As i understand it ebs will NOT give advice now in 2019 ( i could be wrong about this )
but they certainly did back then - ? worth looking into that too
 
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paulo1000

New Member
Messages
1
Hi,
Just started reading these posts.
I took out a 5 year fixed in 2007 and it has on my loan 'variable base' after.
I was never given any other options before or after the fixed ended.
As far as I can see from my documents I only ever applied for a fixed rate.
So how do I prove a 'variable base' could in fact be a tracker?
Apologies if this has been mentioned in previous post?
Do we need to get an idea of how many people could be in the same situation?
 

Jennybaby

Registered User
Messages
44
charlie Weston SAYS Dara Deering has accused her rival banks of 'using standard variate rate mortgages as a lever of profitability

Put the above line into Google, good read.
 

kb_whatsgoingon

Frequent Poster
Messages
52
Jennybaby - I saw that a while agao - its a pity Charlie weston won't pick up the story now - I am guessing there is a huge amount of people who were given 'variable base rate' i.e tracker mortgages that are been swindled by ebs ( like maybe 5 billion worth)

there is such a good story here- a whistle blower would be great at this point


Back in late 2008 I called EBS To ask what on earth were ebs up to and why was my interets rate going up when the ECB rate was dropping - the woman on the other end of the phone was like ' how dare you complain don't you know there are people working here that are going to lose their jobs'

maybe they just thought they had a right to peoples money as they needed and it they could just push up the rates a bit higher if they needed a bit more cash -- oh yes thats is exactly what they did :)
 

Jennybaby

Registered User
Messages
44
Kb what's goin on I have to agree with you. It reminds me of when the church were followed no matter what they said from the pulpit. We the people believed what they said.

Then came scandle after scandle and we opened our minds and said they are not to be trusted.

It's exactly the same the banks, they spoke to us and we agreed like little puppies. Until scandle after scandle got us thinking that they are not infallible either.

I got a reply from the EBS ststing that the banks got rid of the tracker and they are struggling because of the ones they did give out. My heart blead for them

Thank God our children have witnessed all the scandles, they question everything. That way they will have little or no scandles to sort out
 

Trackman

Registered User
Messages
27
The pillar banks now sponsor our the Junior GAA leagues. Makes me sick.

Pascal Donohue put out an article from his department claiming tracker mortgages were the reason rates here were so high yet Mario Draghi said on a recent visit it was due to a lack of competition.

Add to that Pascal should of sold bloody AIB when he had the chance.

You're right at least our children won't be duped by these actors in the future.
 

whyindeed

Registered User
Messages
14
Today is listed as the last day for appeals. How does this affect us? A good article by Will Goodbody on the RTE site last Friday.
 
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Inquisitor

New Member
Messages
3
Pascal Donohue put out an article from his department claiming tracker mortgages were the reason rates here were so high yet Mario Draghi said on a recent visit it was due to a lack of competition.
This illustrates the complete misunderstanding and misconception the Minister of Finance has about banking in general and in particular, the reasons why mortgage interest rates are so high in this Country compared with our European neighbours. I am undecided if the article is propaganda or complete ignorance on behalf of the Minister.
 
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