Bank of Ireland increase differential on tracker rates

I've just received paperwork from the Financial Services Ombudsman asking a number of questions in relation to my mortgage with BOI. I'm slightly puzzled as to why they have two questions regarding my financial position at the time of taking out the mortgage and currently. Surely there remit is to adjudicate on the legality of the BOI decision regardless of my financial position? Cam anyone throw any light on this please?

Joe,
Quite agree with your point.
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Glad you posted this, it reminded me that the questionaire I was promised a month ago hasn't arrived yet.
Chased him, out of the office till tomorrow !

Reply to the comment left by "Stuart Dixon" at "19/08/2014 - 19:57":

Stuart has almost our situation in a nutshell - £250/mo increase for now 16 months = £4000 more than before the hike. Add at least another 12 months before any action comes to fruition and that difference becomes £7000 so around 115 borrowers would be required the longer this goes on. Hell in 266 years I can fight this on my own 😉

I hope it feels like the Sword of Damocles hanging by a thread over BOI as the longer this continues the less borrowers needed to fight and the larger the reward. My rental income more than covers the increase, however, it is the principle of large institutions doing what they like and moving goal posts that is so disgusting.

I agree. The longer it goes on the more the litigant insurers can get back. So the number of participants falls. Is it worth Justin doing some figures based on at what point in time enough money becomes available based on the borrowers who have signed up to date?

And to those standing on the sidelines watching a waiting for everybody else to put their hands in their pockets......well I suggest you work out how much it won't cost you to join the action rather than seeing money disappear out of your bank account for the next 15 years plus.

I have been reading the comments on this forum since they started and I thought I would just comment that I have expressed an interest in joining the action a number of times, emailing Justin and his legal team. I am happy to give a donation to help get this off the ground but the last advice I received was to hold fire on making any payments until the target number of people had been reached. There may be quite a few of us who have expressed an interest but not yet paid but are happy to do so - I guess we need an update from Justin on how many people have expressed an interest and what the target number currently is.

Reply to the comment left by "Heather Ette" at "03/09/2014 - 10:51":

Has the litigation (insurers team) actually stipulated what proportion of a win compensation deal from BOI goes into the litigation insurers pockets? OR - are they just looking at their legal costs getting covered and all the additional interest that we are getting charged comes right back to us. This thread is so long now it would take hours even days or years 😉 to read back and find what the actual deal is. A refresher of what we would win as borrowers if successful against BOI would be very er... refreshing!

Reply to the comment left by "Dave Riches" at "03/09/2014 - 11:19":

My understanding is that the Litigation Funders would keep the refunds and the win would be reversion to the deal you all thought you had from day one.
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Reply to the comment left by "Mark Alexander" at "03/09/2014 - 11:27":

Hmmmm - this is not such a cut and dry reward for us the borrowers!

Every year down the line at say £250 per month equates to £3000 per year per borrower (as a minimum). Each year, then, at say 200 borrowers at £3000 each is £600,000 plus legal costs awarded if we win. 5 years down the line and a win is awarded - this equates to each borrower losing £15000 but more importantly the reward pot for the funders amounting to £3 million - are you sure Mark that our reward is just reverting back to the original interest rate deal we were on? What am I missing?

Reply to the comment left by "Dave Riches" at "03/09/2014 - 12:25":

I am working from recollection. I also recall the required "win pot" for the Litigation Funders was circa £850,000. I assume but don't know for sure that any additional win pot would be shared. I hate the structure bacause there is no incentive for people to comit on the basis that if enough do commit, those that don't could receive a bigger benefit.

If this is not cleared up by the time we defeat West Brom (hopefully) I will be asking Cotswold Barristers to consider alternatives.
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Reply to the comment left by "Mark Alexander" at "03/09/2014 - 12:45":

I agree Mark - pardon this pun but just playing Devil's Advocate 😮

I think there does need to be a greater incentive plan as more time goes by - it would be a shame for us borrowers to lose all the extra interest we have paid. However in the bigger picture I would hope that this sort of high exposure case will close the legal loopholes that allow these banks to make their own rules as they go on.

Lets hope we can get a better idea of the compensation structure in time - might encourage more to sign up. There is also the matter of 8% annual interest on that extra interest paid which we might have earned in long term savings plans - similar to PPI rewards - any comments please???