PTSB reaches out-of-court settlement with tracker mortgage customer
PTSB reaches out-of-court settlement with tracker mortgage customer

As part of PTSB’s redress programme, customers who accepted compensation from the bank were not precluded from a taking a further case via the courts. Photograph: Alan Betson

Central Bank figures suggest some 40,000 borrowers have been affected across the banks

Following this news, Central Bank figures propose that almost 40,000 borrowers all over Ireland have been affected across the banks badly in tracker mortgage.

A permanent customer of the very famous Permanent TSB has recently compensated a tracker mortgage case with the mainstream State-owned bank. It was considered to be a test case in which there were several queries related to the tracker margined by the customer have been put on. That was actually a part of PTSB’s redress scheme, though.

Earlier, several preceding tracker mortgage cases handles in courts had former just focused on the amount of compensation received and on the breach of contract.

The Geraghty vs PTSB plc case, however, was owed to be perceived on 25th June at the High Court. But it got stuck on 23rd may on Thursday when a settlement agreement was reached. That agreement included all the costs in the favor of the plaintiff.

While, on the other hand, the level of achieved compensation was not mentioned in the agreement. That is why Hugh Court usually hears cases including major claims for losses in excess of €75,000, which is almost equal to €60,000 when the case is of any personal injury. Therefore, PTSB declined refused to give its remarks on the case.

However, it is very well understood that the plaintiff that got represented by the honored Niall Kiernan associated with Lawlor Partners, initially brought the law case against PTSB in the year 2025. That case majorly queries the margin of tracker rate that had been implemented over the loan.

Tracker mortgage Compensation

After obtaining compensation worth €30,000 for having been an important part of the bank’s real redness scheme. It is well acknowledged that the plaintiff further on took a legal case against PTSB in which people were significantly querying that why were they offered what the bank assumed to be of an inappropriate rate of above 2.25% above the ECB.

In addition to that, people also argued that they were relentlessly designated to a tracker rate margin which is approximately 1.1% above the ECB standard rate. Thus, it is assumed that they should be qualified for additional compensation.

Moreover, as a vital component of PTSB’s redress program, all the clients and customers who received compensation from the bank were not restrained from taking any case further via the courts.

Now several cases have been resolved with PTSB heading on from the tracker mortgage redress schemes of the bank.

Redress Scheme

Maria page sued the bank in 2017 for breach of contract. It was the time when she discovered that she is also a part of the very famous redress scheme. This was as till then she had not been given the selective choice of a tracker rate when the previous term of her applied fixed-rate mortgage had not been expired.

However, it is assumed that her contract was for a sum. That sum was actually a multiple of the terms which were initially offered to her from the bank.

Now almost seven years have passed to this tracker mortgage scandal since it first got broken. But despite the beginning of an examination scheme held by the Central Bank of Ireland in the year 2015, the remaining procedure is yet to come to an end.

The figures calculated by the Central bank suggest that roughly 40,000 borrowers across various banks have been seriously affected to date. The PTSB chief executive named Jeremy Masding said in April that the lender had made compensations and refunds for almost 99% of its 1983 crashed tracker mortgage loan accounts.

The scandal, which surveyed hundreds and thousands of mortgage customers either charged an inaccurate rate on their tracker mortgage or totally denied free access to a tracker. Thus, it is expected to fetch the sex main lenders of the country for accounting about €1 billion in compensation, refunds, and other usual costs.

 

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