KBC Bank Ireland has said it will not challenge time limitations in respect to tracker mortgage complaints with the Financial Services and Pensions Ombudsman.
Concerns were raised earlier this month that hundreds of borrowers affected by the tracker mortgage scandal may not have their complaints heard because their lenders told them that they have left it too late.
It seems all the main banks have now committed to not blocking tracker complaints being adjudicated by the Financial Ombudsman on the grounds of the 'time limit' - progress but it shouldn’t have required I raising it & media coverage for sense to prevail. https://t.co/a8Vc42nPI1— Michael McGrath (@mmcgrathtd) August 26, 2019
The Financial Services Ombudsman had said some banks are contesting his office's attempts to investigate complaints, claiming they fall outside a legal six-year time limit.
Ger Deering said he was dealing with more than 1,100 complaints related to tracker mortgages.
In a statement today, KBC Bank said it is determined to secure the best outcomes for all customers impacted by the tracker examination. "The application of any aspect of the relevant legislation relating to customer complaints rests with the office of the Financial Services and Pensions Ombudsman and we work openly and constructively with them."
Bank of Ireland said they haven't relied on a simple assessment of time limits in relation to tracker related complaints referred to the FSPO. The Bank says every tracker complaint goes through a very thorough process, regardless of the date the complaint was made.
As of last week, Bank of Ireland confirmed to the Ombudsman that they are happy that they don't apply a time limit to any tracker mortgage related complaints.
Permanent TSB has said that they only ever used the time defence in relation to one customer complaint. A spokesperson for the bank said they are not making any pronouncements on this announcement but will judge each case as it arises.
In a statement, AIB said it would not be applying time restrictions relating to tracker complaints.
"AIB acknowledges and respects that the FSPO has the sole jurisdiction to decide what tracker mortgage related cases are within its remit for investigation. We will not be seeking the application of time restrictions by the FSPO in relation to tracker mortgage issues."
While Ulster Bank said it had never invoked the time limit clause nor challenged the jurisdiction of the office of the Ombudsman regarding time limits on tracker mortgage complaints.
"This is the case for all customers raising a Tracker Mortgage Examination related complaint- not just impacted customers," it said.
The chairman of the Irish Banking Culture Board, Mr Justice John Hedigan, welcomed the decision by each of the banks to waive the time limit in relation to tracker mortgage complaints.