Thousands of mortgage customers with the Bank of Ireland who complained that their repayments doubled after the bank changed the differential for its tracker mortgages have been offered £1,000 to leave the bank.
The bank made the changes to home and buy-to-let mortgages because of the rules on holding more capital.
The move led to 13,500 customers seeing their mortgage repayments go up – in some cases by double.
In addition to the cash offer, the Bank of Ireland has also waived early repayment charges for those wanting to leave.
This isn’t the first time the bank has hit the headlines for offering inducements to customers to leave.
The bank has tried to shrink its mortgage book and managed to offload more than 20,000 customers last year.
The bank has also had to point out that the cash back offer is not offered to every mortgage customers.
A range of new mortgage products was unveiled by Accord Mortgages rates were cut on some products by up to 0.30%.
Among the new deals is a two-year fixed rate of 3.49% and a five year fixed rate of 3.99% on mortgages of up to 75% loan-to-value (LTV). Both have a £1,800 administration fee.
All of Accord’s new products have free standard valuation and £250 cash back on completion.
The firm says that the buy-to-let sector is a growing market and that they are seeing increasing numbers investors returning for repeat deals.
Investors with deposits of more than 30% are eligible for NatWest’s latest variable buy-to-let mortgage.
The 4.09% interest rate is fixed until the end of May 2015.
There is no arrangement fee and the bank will offer a free valuation and legal fees with a remortgage.
Landlords looking for mortgages to fund properties housing tenants on benefits have received a boost as the Coventry Building Society announced a lending criteria review.
The move follows news that The Mortgage Works and BM Solutions will lend to landlords with tenants on housing benefits.
Industry analysts say that the Coventry is the third biggest player in the buy-to-let sector and the building society confirmed that it is currently reviewing its lending criteria on buy-to-let mortgages for landlords with housing benefit tenants.
