Is There an Overcharging Problem in Irish and UK Banks?

1. Is There an Overcharging Problem in Irish and UK Banks?

3. UK and Irish Bank customers have for a long time complained of account discrepancies, with thousands of borrowers highlighting increased loan amounts that could not be explained. This has led to the obvious question; is there an overcharging problem in the UK and Irish Banks? The Discovery Bank of Scotland (Ireland) and Ulster Bank have recently been found to have overcharged their customers on various occasions. Ulster Bank is being accused, with justifiable reasons that it had overcharged more than 23,000 customers with what it termed as the “mistaken fees. On the other hand Bank of Scotland had an overcharge in customer’s accounts after wrong mortgage calculation (interest rates) on more than 20,000 customer’s accounts.

5. Further analysis reveals that this is not the first time the Bank of Scotland has been involved in the overcharging scandal. Recently the lender was found to have charged customers in 2008 an extra day’s mortgage interest for the Leap Year. It is estimated that more than 28,000 customers were affected by the extra day’s interest overcharge. AIB is the latest entry into the overcharging saga after the lender was found to have overcharged its customers by as much as €50,000. The overcharge was attributed to “human error” and the application of wrong interest rates on the tracker mortgages. Liquidators of IBRC have also tabled a report to the Central Bank with revelations that the former Anglo Irish Bank was engaged in overcharging scandal for 14 years.

6. The Irish Tracker Mortgage scandal has brought overcharging to a whole new level with around 40,000 bank customers receiving compensation that industry experts believe will cost the banks in excess of 1 billion Euros. The Irish Minister for Finance, Paschal Donohoe highlighted that overcharging seems to be an industrial problem. His sentiments were justified by Central Bank’s report, which indicated that more than 25% of customers had suffered from the same vice. Even where the overcharge might be small, cumulatively, the lenders are banking millions.

7. Mr. Donohoe continued to highlight that the government is supervising the refund policy where all the overcharged customers have to be refunded within the shortest time possible. Firms have also been required to communicate with the affected customers and solve the interest rates’ discrepancies with immediate effect. Moreover, the Ministry of Finance is deliberating on other legal measures that could inflict penalties and fines to the banks that have been involved in the current scandal.

8. Is there any hope? Yes! If you believe that there could be an issue with your mortgage, it would be prudent if you sought an independent assessment fromLoananalysissolutions for a comprehensive report. Getting an independent residential mortgage analysis or debt restructuring analysis is an essential undertaking as it will not only prevent loss of money, but also provide you with an updated comprehensive financial report about your mortgage refinancing.

9. Contact us- Loan Analysis Solutions Locations : Naas, Kildare, Ireland Email : contact@loananalysissolutions.ie Website : www.loananalysissolutions.ie