Tracker Mortgage Decision Reference 2025-0224

• Case Outcome: Partially upheld
• Year: 2025
• Reference: 2025-0224
• Date: 23 December 2025
• Subject Matter: Tracker Mortgage
• Finantial Sector: Banking
• Conducts Complained Of: Failure to offer appropriate compensation or redress CBI Examination,Failure to offer a tracker rate throughout the life of the mortgage

Decision Ref:

2025-0224

Sector:

Banking

Product / Service:

Tracker Mortgage

Conduct(s) complained of:

Failure to offer appropriate compensation or

redress CBI Examination

Failure to offer a tracker rate throughout the life of

the mortgage

Outcome:

Partially Upheld

LEGALLY BINDING DECISION OF THE FINANCIAL SERVICES AND PENSIONS OMBUDSMAN

Background

This complaint relates to ten mortgage loan accounts held by the Complainant with the

Provider.

1. Mortgage loan account ending 7523

Mortgage loan account ending 7523 was drawn down on 29 August 1997 for an amount of

IR£48,310.00 repayable over a term of 20 years. Mortgage loan account ending 7523 was

secured on a buy-to-let (“BTL”) property. This mortgage loan account was redeemed on 01

March 2003.

2. Mortgage loan account ending 0798

The top-up mortgage loan account ending 0798 was drawn down on 05 October 1998 for

an amount of IR£16,000.00 repayable over a term of 19 years. This mortgage loan account

was redeemed on 01 March 2003.

3. Mortgage loan account ending 0829

- 2 -

/Cont’d…

Mortgage loan account ending 0829 was drawn down on 03 April 2002 for an amount of

€120,625.12 repayable over a term of 29 years. Mortgage loan account ending 0829 was

secured on two BTL properties.

4. Mortgage loan account ending 5352

The top-up mortgage loan account ending 5352 was drawn down on 07 October 2002 for

an amount of IR£10,000.00 repayable over a term of 18 years. This mortgage loan account

was redeemed on 01 March 2005.

5. Mortgage loan account ending 7045

Mortgage loan account ending 7045 was drawn down on 12 January 2005 for an amount

of €720,000.00 repayable over a term of 25 years. Mortgage loan account ending 7045 was

secured on six BTL properties. This mortgage loan account was redeemed on 22 December

2009.

6. Mortgage loan account ending 4388

Mortgage loan account ending 4388 was drawn down on 08 December 2005 for an

amount of €280,000.00 repayable over a term of 25 years. Mortgage loan account ending

4388 was secured on five BTL properties.

7. Mortgage loan account ending 3483

Mortgage loan account ending 3483 was drawn down on 13 April 2006 for an amount of

€20,000.00 repayable over a term of one year. Mortgage loan account ending 3483 was

secured on a BTL property. This mortgage loan account was redeemed on 08 June 2006.

8. Mortgage loan account ending 9899

Mortgage loan account ending 9899 was drawn down on 18 May 2006 for an amount of

€143,200.00 repayable over a term of 25 years. Mortgage loan account ending 9899 was

secured on a BTL property. This mortgage loan account was redeemed on 21 December

2015.

9. Mortgage loan account ending 9818

Mortgage loan account ending 9818 was drawn down on 20 December 2006 for an

amount of €507,750.00 repayable over a term of one year. Mortgage loan account ending

9818 was secured on three BTL properties.

- 3 -

/Cont’d…

10. Mortgage loan account ending 1873

Mortgage loan account ending 1873 was drawn down on 07 April 2003 for an amount of

€141,000.00 repayable over a term of 20 years. Mortgage loan account ending 1873 is

secured on two BTL properties.

The Complainant’s mortgage loan account ending 1873 was considered by the Provider as

part of the Central Bank of Ireland directed Tracker Mortgage Examination (the

“Examination”). When conducting its review of the mortgage loan account under the

Examination, the Provider identified that a failure had occurred on the mortgage loan

account and as such the mortgage loan account was deemed to be impacted under that

Examination.

The Provider wrote to the Complainants on 21 April 2017 and set out “the circumstances

that caused this failure to happen” as follows:

“When you took out your mortgage we gave you the wrong set of terms and

conditions due to a manual error. Despite this error, we have now decided to

honour these terms and conditions. These terms and conditions gave you a

guarantee that your rate (the ‘Buy to Let’ rate) could not be more than 1.50% over

the European Central Bank (ECB) rate. But the actual rate on your account was

often higher than this. […]

Now that we have completed the detailed review of your mortgage account and

reduced your interest rate, we have been able to calculate the redress and

compensation that is due from 30/04/2003, which was when your account was first

impacted.”

The Provider’s letter dated 21 April 2017 further details as follows:

“What are the next steps?

You could have the opportunity to regain possession of your property. To determine

this we will need you to fill out the Standard Financial Statement (SFS) enclosed

with this letter, this helps us assess what you can afford now that your mortgage

has changed. Please return it to us within 20 business days form the date of this

letter.”

The Provider made an offer of redress and compensation in the sum of €5,435.26 in its

letter dated 21 April 2017 as follows: