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TODAY THE CENTRAL bank revealed the number of customers overcharged by their banks as a result of the tracker mortgage scandal had risen to 33,700.
In a strongly-worded statement, it also said that in 13,600 of those cases it had to push for the lenders to admit these customers were impacted.
Today all of the main banks issued statements updating their numbers, with one of them – AIB - admitting to issues with an additional 4,900 accounts.
AIB split impacted customers into three groups
These new figures bring the total number of impacted AIB accounts to 13,848.
The bank has compensated 3,146 customers in the first group and a further 130 will be complete by the end of the year. AIB also identified 956 customers who were on a tracker rate, but who were being charged a higher rate of interest than they should have been. It most cases, the bank said the overcharging was less than €500.
So far, 736 accounts in the second group have received redress and compensation and another 220 will receive payments by the end of March next year.
AIB will pay each of the customers in the third group compensation of €1,000 plus €615 towards independent advice by the end of March 2018. They will also have the option for a 12 month period to avail of the bank’s current prevailing tracker rate on a go forward basis and the right to appeal through the independent appeals process.
KBC‘s figures have also increased significantly. The lender had initially identified 417 accounts as impacted and it said the majority of these will receive redress and compensation by the end of the year. This had been on top of the 517 overcharged accounts the bank had identified in a review back in 2010.
In October this year, however, the bank said it anticipated an additional 200 – 600 accounts would be identified. Today the bank said the actual number of additional impacted accounts is 2,557.
“These accounts will be moved back to a tracker rate, if the account is still open, and they will receive redress and compensation,” it said. Payment of redress and compensation for the customers identified more recently as impacted will commence in January 2018 and complete by the end of June 2018.
Bank of Ireland, which has admitted to overcharging on 10,300 accounts, said all impacted customers with an open mortgage account have been returned to their correct tracker rate.
7,270 customers have been contacted with an offer of compensation, and an additional 400 offers of compensation were issued today.
1,947 customers have received payment of their compensation to date and a further 250 compensation payments are currently being processed.
“We are working hard to make things right for all impacted customers – and are continuing to work closely with them to ensure that we can fix this issue, as sensitively as we can, in all cases,” the bank’s CEO Francesca McDonagh said in a statement.
Ulster Bank, which has identified just under 3,500 customers as impacted, said all have been put back on their tracker rate.
Redress and compensation has been paid to 1,017 customers to date.
“I would like to reiterate my unreserved apology for the failures which led to customers being impacted under the examination, as well as for the length of time which it is taking for us to put this right. This apology extends to all customers, even those not impacted by the examination as well as to our people working in Ulster Bank. However, we continue to learn from this and we are focused on completing this process, putting this right and rebuilding trust in Ulster Bank,” chief executive Gerry Mallon said.
Mallon also said that following feedback from the Central Bank, Ulster Bank is working to identify any additional impacted customers.
Permanent TSB has paid back and compensated all 1,980 customers it identified as impacted by the scandal. Chief Executive Jeremy Masding said the failures which led to this issue should not have occurred.
“We again apologise to all customers who were impacted by these failures.”
The Central Bank has a number of enforcement investigations ongoing and is also due to make a report to the Minister next summer.
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Don’t worry, Micky D won’t rock the boat.
He’s firmly embedded in the establishment now.
@Tommy Haze: By “Micky D” challenging the Government’s Bill, is he not actually rocking the boat.
@Sean O’Doherty: hes not challenging it, just checking that its constitutional he can request further clarification and changes but the real challanges only occur in the courts
@Spanner: correct
Please allow us to keep the corruption flowing, yours sincerely, FFG.
@bruce banner: Labour managed to get a few of their “cronies” into the lower courts over the years too. Decent lawyers that became judges admiringly . How’s it corruption ? Do you understand the term ? Any of those credible and good enough to be a judge would normally make more money practicing as barristers and solicitors . Vastly more money to be made in the private sector and far less hassle compared to what judges have to deal , professionally and personally . What judge appointments to the Superior courts have you or do you take issue with , in light of their legal background ?
Hey, can we talk about Israel/Palestine and the Garda roster disputes here? Seen as though its pretty much the only comments section actually open….
@Irish turf: Individual opinions are not allowed and are dangerous…to the agenda
@Dave Murray: no, don’t , please . (Obviously one can’t stop you ) This section is about appointment of judges . Your attempt to hijack the topic is why so many articles close their comment section
@Brian Deadly: they tend to be very expensive when they are defamatory . Hence why The Journal close them down .
TJ is really not taking any chances with the trouble in the Middle East.
The memo must have gone out on Saturday to shut down all discussion and debate on the topic.
Should get rid of the comments section if you are closing all the ones people want to comment on.
War is bad but if you keep walking over people and denying their freedom they will react at times.
Well said.
No coment, nó coment, irish goverment need to grow a pair and call out Israel. Complete blockage on Gaza, 2 million people starved
@Spudgesh: fully agree.
Top 5 stories, no comments aloud.
@Jay Kay: allowed
Thoughts and prayers with those on both sides of the Gaza Strip.
Is this normal, or just his mouth always open ? Does he use any medication
@ibrahim Sudane: It’s a thinly disguised grimace. He’s not been well since Sabine had the Strapadictome.
Have the GRA taken over the j0urnal. About 90% of comments are closed, even Ardal O’Hanlon and it obviously isn’t listening to anyone’s comments.
I hope Michael D will find time between his holidays to meet the Council of State. Is it not time to stop Govt appointees and separate the Judiciary and State
Was listening to Shatter on radio earlier. He is further to the right than Net in yahooo and given his record in Justice presumably supports the nets supreme court stance. What happened, to both people’s is disgusting but as usual, nobody is asking, WHY, it has gotten this bar baric. History is conveniently ignored! Every Time I watch a doc on the Holocaust, I wonder what lessons were learned and all of this in the name of religion. At this rate only Atheists will be allowed into heaven. Can you imagine if the Messiah arrived in Gaza tomorrow. No water to turn into wine. I am not belittling the tragedy, I am belittling religious human beliefs. The only thing that is going to stop this is climate change.
@BarryH: With the big exception of his eagerness to support the senior police officers , without looking at the evidence , during the whistle blowers affair ; Shatter was a pretty good Justice Minister ! His hands were tied by huge economic obstacles which in turn forced him to close down Garda stations and put a freeze on recruitment. While neither of these black marks are small fry, he was an excellent minister . In case you have not noticed but , Ireland is not a left wing country ! At best it’s centrist and centre right with the occasional centre left . You want some to big done , want hard and tough decisions made , you vote right wing .
Islamic terrorists on the Luas lines?
Very informative thank you.
Rory Sully ( Irish legal systems )
@Rors: yeah
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