Bank of Ireland tracker mortgage % increase

disposalist

ILW wrote: »

There should be a law against anyone in BTL losing money.

Sarcasm. Very constructive.

Noone is asking for special consideration, just for banks not to dump on them unexpectedly from a great height.

I suppose people mis-sold PPI had it coming too? Should have read the fine print?

And not everyone with a BTL mortgage is a professional landlord. Some of us were advised when needing to move but the property market was low, that it made good financial sense to rent the place out and, hey, here's a good tracker mortgage for you!

I'm not sure why I find myself defending BTL mortgage holders, here. I'd have thought at MoneySavingExpert.com most folk would be coming here to help and advise rather than poke fun or gloat. Nice. Thanks.

jobdone1

disposalist wrote: »

Makes me laugh when people roll their eyes at folks who take on enormous mortgages they can't afford.

Banks had a reputation up until a few years ago (ie. when those mortgages were being marketed and sold) as establishments you could trust. Why would anyone question a bank employee telling you they will give you five times your salary on a mortgage with no deposit or replayment element? Bank staff are to be trusted and they know 'money stuff' better than us, no?

It's only the last few years we've realised they are just as bad as the gangster money-lender down the pub. But on a bigger scale.



Again - have some flaming sympathy and realise it'll be you next.

That's the point anyone with a bit of savvy would not fall for the trap of 5 x your salary.

Its a bit like saying I earn £900 p/month and I need a loan that pays you back £1200 p/month you clearly can't afford it.

Ok what we will do is give you an unrealistic low rate which will bring the monthly repayments down to £600 is that ok sir. O brilliant I will take it Knowing that the original rate could at some point come back.

smiffy

It's not just BTL customers, there are residential customers too.

I've no issue with the base rate rising, its the bank moving the goal posts - and not even to a competitive rate.

ILW

disposalist wrote: »

Sarcasm. Very constructive.

Noone is asking for special consideration, just for banks not to dump on them unexpectedly from a great height.

I suppose people mis-sold PPI had it coming too? Should have read the fine print?

And not everyone with a BTL mortgage is a professional landlord. Some of us were advised when needing to move but the property market was low, that it made good financial sense to rent the place out and, hey, here's a good tracker mortgage for you!

I'm not sure why I find myself defending BTL mortgage holders, here. I'd have thought at MoneySavingExpert.com most folk would be coming here to help and advise rather than poke fun or gloat. Nice. Thanks.

BTL landlords having been doing pretty well at the expense of savers for a while.

Rob_n_Bar_Stewards

Well, well - what a surprise !!

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disposalist

JimmyTheWig wrote: »

Looks like they have benefitted from a very good interest rate for some time and are now free to move elsewhere to the best they can get.

A lot, if not most, people are NOT in the position to move elsewhere. I don't want to be a landlord, I'm looking to sell, so to get another mortgage would mean an exit fee from BoI, lots of legal fees and arrangement fees for the new one, then a redemption fee when I sell the place.

In my particular situation BoI changing the deal is going to cost me many hundreds if not some thousands no matter what, unless I can get some compensation, like those mis-sold PPI...

And there must be people in worse situations - there are any number of common financial situations that mean you can't just remortgage, which is why this sudden doubling of mortgage rates (and thus monthly payments) is so abusive.

It's true that (pretty much) all financial investments are a gamble. Sometimes when you gamble, you lose. The unacceptable side of that is when banks gamble and lose they can go to their lawyers and ask "look through the contract small print and see who we can screw to get this back, will you?"

BTL mortgage-holders didn't 'lose at gambling' here - we are being cheated.

JimmyTheWig

plimsolls_on wrote: »

I am insolvent (though never missed a payment) and in negative equity, I will not be able to shop around for a new mortgage... OOooops

I will write to BofI in the first instance and then Ombudsmen

Possibly a case for mis-selling.
The question would be, what would you have done in 2001 if you hadn't been mis-sold this mortgage?
Presumably you would have got a different mortgage with a different provider.
Presumably that would have been a slightly higher rate to start with (hence why you chose your mortgage in the first place) but would now not be facing these hikes.

Get your calculator out. Work out the difference (either more or less) you would have paid if you had gone for the second best mortgage at the time. Work out what you would be paying now on that mortgage. If you come out worse off then I think you've got a case.
I'm not convinced that you will come out worse off having been on a very good rate for years. But it is worth checking if you feel hard done by.

I took mine out 2001 and no problems till now!

I don't see how you took out a mortgage in 2001 and are now in negative equity.
You must have paid off around a third of the balance in that time.
And prices have risen by a third in that time.

The_Hawk

I am not a Buy to Let customer, just a residential customer who received a letter this morning telling them that the interest on their mortgage was being increased threefold.

But whether we are Buy to Let or Residential customers is neither here nor there. We signed up for something, only to find out that the Bank of Ireland have dug out some well-hidden "small print" to try and drive through some significant increases in their charges.

Banks, or any other organisations, must not be allowed to market products, only to substantially change the nature of the product, using well-hidden "small print".

We are drowning in a world of terms & conditions and small print that, rather than protecting both sides, are being used by one side to shaft the other.

disposalist

ILW wrote: »

BTL landlords having been doing pretty well at the expense of savers for a while.

Lol yeah every week I go down the the bank and I take money out of all the savings accounts to pay my mortgage. "at the expense of savers"? What ARE you talking about? Again: I am not a professional landlord, but, good grief, does everyone really think they are the root of all financial evil?

Everyone with a mortgage or any debt has been doing ok with interest rates being low. Yes, when interest rates are low, debts repayments are reduced as interest payments are reduced.

If you've done well from an investment for a few years, you should just roll over and take it if someone cheats you?

What's your point and what's the hate for BTL landlords for?

If you don't like landlords, go and get a mortgage (and hope they don't cheat you on the deal).

ILW

disposalist wrote: »

Lol yeah every week I go down the the bank and I take money out of all the savings accounts to pay my mortgage. "at the expense of savers"? What ARE you talking about? Again: I am not a professional landlord, but, good grief, does everyone really think they are the root of all financial evil?

Everyone with a mortgage or any debt has been doing ok with interest rates being low. Yes, when interest rates are low, debts repayments are reduced as interest payments are reduced.

If you've done well from an investment for a few years, you should just roll over and take it if someone cheats you?

What's your point and what's the hate for BTL landlords for?

If you don't like landlords, go and get a mortgage (and hope they don't cheat you on the deal).

Stop whining.