Will Ulster Bank give me a discount to pay off a cheap tracker?

S

SINED

Registered User
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21
I have a tracker with Ulster Bank 1.5% above ECB Rate 65K Outstanding wrote to them twice offering 57K never responded.I thought they would least come back with a counter offer. Has any users been successful in doing a deal with Ulster Bank to pay off tracker
 
You've probably confused them

But maybe if your house is more valuable than 65K the security value of it might look better on their books than having it paid off. ( that's a complete guess, by the way )
 
Not a hope - if you've been paying your mortgage regularly, they're not going to let you off with a cent - they need people like you!
 
It would seem to make sense that a bank would offer you a discount if you have a decent tracker as the bank may well be losing money on it, depending on the bank's funding sources. But although this question pops up frequently, there's been very little hard evidence of any bank other than Permanent TSB actually offering any discounts to tracker customers for clearing off a tracker loan. Write-downs are occurring in respect of distressed loans where there is little hope of the customer making the normal repayments, but not on performing loans.

See this thread.
 
Hi SINED, I have a simular circumstances, I have a 0.85 Tracker with Ulster 157K. I am on notice with my employer and my redundancy will put me in a position where I can pay off the outstanding balance. As my rate is so good I think that I would be crazy to do so unless I get some sort of discount (thinking >10%). Like you I have written to them on two occasions asking for a discount to settle but have only been offered a settlement figure for the full amount outstanding. It would seem you have to be in a default position before they will negotiate with you. I think I will write to them again when I finish work but after that I guess i'll have to sit and wait to see if they make a general offer simular to PTSB. Would be interested in others peoples opinion on this,
 
It would seem you have to be in a default position before they will negotiate with you.
Click to expand...

I don't think that they are offering discounts to people in default either.

Even if a borrower agrees to surrender their home, the balance remains outstanding and they pursue it. The only ones doing a deal on the shortfall are the sub-primes.
 
Just wondering if there are any up to date comments/experiences on this subject.
OR
If a tracker client were to offer to transfer a tracker(10 years left) at a low rate (.8 over ecb) to a variable at a competitive (lower than advertised rate by the bank) but more lucrative for the bank over a longer term (20 years) would this be entertained.
 
I have written again to Ulster bank in Jan offering to pay off my tracker they did not even answer my request
 

While this suggestion makes financial sense, in practice I strongly doubt that a bank is going to create a special "lower than advertised" variable rate just for you. The amount of time it would take to calculate what an appropriate rate would be and then crowbar that rate on to their computer system would far outweigh any potenial benefit to them.

Interest rates on commercial loans tend to be priced on a case-by-case basis within a range, but interest rates on residential mortgages are common to all customers of a similar category.
 
i know of cases where this has been done.
You need a good negotiator to take your case to the decision maker in the bank.
Writing to them just gets it left in a pile on some gombeens desk who has no authority to make any decisions themselves.

I think if you can search aam you will find mine and others previous posts on this. Im too lazy to look.
You should be able to find someone who knows how to get your case to the decision maker.
 
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