Find a page

PTSB failure saw people lose home
28 Jul 2015 13:01
Almost 1,400 mortgage holders with Permanent TSB and Springboard Mortgages are due to receive compensation after a series of failures related to tracker mortgages and mortgage over payments were uncovered by the Central Bank.
-
These failures were also a "key factor" in the loss of ownership of at least 22 properties, according to the bank.
-
The majority of the affected customer accounts - 1,152 - are accounts of PTSB , with the remaining 220 being accounts of Springboard.
-
The Central Bank says PTSB failed to inform certain customers of the consequences of their decisions to break early from a fixed rate or discounted tracker period, which saw them lose their contractual right to be offered a tracker rate in the future.
-
It says PTSB also failed to inform some other customers of their right to be offered a tracker rate at the end of any fixed rate period. In the case of Springboard, it applied incorrect interest rates to mortgage accounts.
-
The bank said that 61 accounts which were impacted by this failure have seen a subsequent loss of ownership of the property in question.
-
A review by PTSB and Springboard suggested that the failures were a "key factor" in 22 of those cases, though an appeal panel may find this to be the case with additional accounts.
-
As compensation in these cases the bank said it would pay €50,000 to owner-occupier accounts and €25,000 to buy-to-let customers.
-
The bank said that, if its failure was a "key factor" in ownership of the property being lost, any money still owed would be written off.
-
All 1,372 affected customers will be contacted by letter over the next two weeks.
-
The Central Bank has also required that a reduced interest rate be applied by Permanent TSB to all relevant impacted customers' accounts as an interim measure.
-
This is to allow affected customers sufficient time to consider their options.
-

Where can I get RTÉ Aertel Digital?

RTÉ Aertel Digital is an enhanced digital version of the RTÉ Aertel teletext service. It functions in the same way as the analogue service, offering current news, sport and weather updates but is now more agile and easier to use.

RTÉ Aertel Digital is available on Saorview, the new free digital TV service in Ireland.
Press TEXT button on your remote to launch Aertel from RTÉ One, RTÉ Two, RTÉ News Now.