Consumer protection group Which? is calling on Bank of Ireland mortgage customers to lodge complaints about the bank’s decision to hike tracker rates.
Which? has developed a free online tool to make it easy for consumers to complain directly to the Bank of Ireland.
In February, the bank informed 13,500 buy-to-let and residential customers of plans to more than double the base rate differential it charges them.
For buy-to-let borrowers, the rate jumped from Bank of England base rate plus 1.75 per cent to base rate plus 4.49 per cent on 1 May.
For residential borrowers, the increase will be applied to in two separate stages. From 1 May, it rose from base plus 1.75 per cent to base plus 2.49 per cent. From 1 October, it will rise again to base plus 3.99 per cent.
Which? is encouraging customers to complain if they were led to believe their rate would track the Bank of England base rate by the same amount for the term of their mortgage or if their mortgage had ‘life’ or ‘lifetime’ in its name.
Which? executive director Richard Lloyd says: “Burying such important changes in the small print is wholly unfair.”
A Bank of Ireland spokesman says: “If a customer decides to move to an alternative mortgage provider, no early repayment charges will apply.”