Which? calls on BoI to “do the right thing”
Thousands of BoI customers with tracker mortgages will be paying a higher interest rate from tomorrow, including some sold a ‘lifetime’ tracker, despite a static base rate.
Which? said it believes the bank is potentially treating customers unfairly by hiking rates using clauses buried in the small print of mortgages taken out before October 2004.
Which? executive director Richard Lloyd said: “Burying such important changes in the small print is wholly unfair.
“The Bank of Ireland is taking advantage of its customers by hiking rates at a time when the base rate is static.”
Which? is advising BoI mortgage 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.
Lloyd said: “The Financial Conduct Authority must make sure all banks communicate important clauses to their mortgage customers, and the government must ensure that the Consumer Rights Bill offers greater protection from unfair terms and conditions.”
Which? has created a free online tool to make it easy for consumers to complain directly to the BoI which is available on its website.