Tracker Mortgage Decision Reference 2022-0144

• Case Outcome: Rejected
• Subject Matter: Tracker Mortgage
• Reference: 2022-0144
• Date: 22 April 2022
• Finantial Sector: Banking
• Conducts Complained Of: Failure to offer a tracker rate throughout the life of the mortgage

Decision Ref:

2022-0144

Sector:

Banking

Product / Service:

Tracker Mortgage

Conduct(s) complained of:

Failure to offer a tracker rate throughout the life of

the mortgage

Outcome:

Rejected

LEGALLY BINDING DECISION

OF THE FINANCIAL SERVICES AND PENSIONS OMBUDSMAN

This complaint relates to a mortgage loan account held by the Complainant with the

Provider. The mortgage loan which is the subject of this complaint is secured on the

Complainant’s principal private residence.

The loan amount was €275,000.00 and the term of the loan was for 35 years. The

particulars of the Mortgage Loan Offer dated 03 February 2006 detailed that the interest

type was “Variable at 2.900%”, with a discount of 0.85% applicable for the initial 24

months of the term of the loan.

The Complainant’s Case

The Complainant submits that he drew down a mortgage loan with the Provider in March

2006 and a discounted variable interest rate applied for the first 24 months of the term of

the loan. The Complainant submits that on 25 February 2008, he received correspondence

from the Provider informing him that the applicable interest rate was due to expire. The

Complainant details that the Provider offered him two alternative rates, being a home loan

variable interest rate or a tracker variable interest rate of ECB + 1.25%.