Jump to content
House Price Crash Forum
cashinmattress

Irish Banks Turn The Screws On Debtors

Recommended Posts

link

Some customers with Ulster Bank on standard variable mortgage rates are set to be hit with nearly €100 in increased payments following a rate increase of 0.6 per cent by the bank.

Ulster Bank has said it will increase its standard variable mortgage rate by 0.6 per cent to 4.95 per cent from 1 July following a review, the Irish Examiner reports.

Experts have told the paper the hike is “substantial” and that many mortgage holders will not be able to afford an increase that will add almost €100 onto monthly repayments on a €300,000 loan.

Writing in the Irish Independent, Charlie Weston says the bank is responsible for around one in seven mortgages in the market, accounting for around 120,000 mortgage customers.

The paper says repayments on every €100,000 loaned from the bank over 20 years will rise by €32 from €625 to €657.

It is the second increase on the bank’s variable rate this year having hiked rates up by 0.5 per cent in March.

The lender said that higher funding costs were to blame for the rises of 1.1 per cent in total this year.

RTÉ reports that the rate increase will be communicated to customers directly and will be advertised in the press.

Speaking to Conor Pope in the Irish Times the chief executive of the Irish Brokers Association Ciarán Phelan said that some variable mortgage rates could hit 6 per cent before the end of the year.

The paper adds that almost 50,000 residential mortgages were in arrears at the end of March.

Lol.

Share this post


Link to post
Share on other sites

If you can't afford an extra 100 Euro, how on earth do you think you can borrow 300,000 Euro.

Well, I imagine that for most folk, that extra €1200 p.a. in interest is equivalent to a months take home wages.

Stings a bit, even for those on rock star wages.

Share this post


Link to post
Share on other sites

The point stands - I'll rephrase it.

If they are only taking home 1200 Euro a month, how on earth do they think they can fford to borrow 300,000 Euro?

Compared to paying that much in rent you mean?

Share this post


Link to post
Share on other sites

If they are only taking home 1200 Euro a month, how on earth do they think they can fford to borrow 300,000 Euro?

I'll have a go..

Is it because they're financially illiterate?

Share this post


Link to post
Share on other sites

The point stands - I'll rephrase it.

If they are only taking home 1200 Euro a month, how on earth do they think they can fford to borrow 300,000 Euro?

I will have a go then.

Just like here, they couldn't, but when house prices were going up like 10% a year they didn't care.

It's about capital gains/getting on the ladder.

Share this post


Link to post
Share on other sites

I will have a go then.

Just like here, they couldn't, but when house prices were going up like 10% a year they didn't care.

It's about capital gains/getting on the ladder.

Yeah, saw this in Ireland - hugely expensive houses that could be rented out for £300 per month. Didn't make sense. Eventually reality has caught up with the land of zog.

Share this post


Link to post
Share on other sites

The sad thing is the Irish are now deluding themselves that tourism can save the country. Reminds me of the place back in the 80s. Everything geared to getting in more tourists, whatever the cost...

Tourism has slumped because (1) cost of everything is eyewatering I paid 6 Euro for a cup of coffee and Euro 7 for a pint of Guinness in Dublin - second most country in Eurozone after Denmark I understand (2) Ireland is so similar to everywhere else in this globalised world of ours. For example, most of the people serving you are E European, etc. (no harm in that, but it doesn't fit in with the paddywhackery portrayed by the tourist board - my travelling companion remarked on a small town 'have the Irish swapped this place with Russia?' LOL!)

I'm not going back there on holiday if I can help it! It was generally pretty awful. People pretty miserable, etc., as you would expect.

Edited by gruffydd

Share this post


Link to post
Share on other sites

For example, most of the people serving you are E European, etc. (no harm in that, but it doesn't fit in with the paddywhackery portrayed by the tourist board - my travelling companion remarked on a small town 'have the Irish swapped this place with Russia?' LOL!)

I'm not going back there on holiday if I can help it! It was generally pretty awful. People pretty miserable, etc., as you would expect.

Oh - I dunno. The Polish waiters and bar staff seemed quite cheerful. It's only the Irish who weren't very happy.

:unsure:

Share this post


Link to post
Share on other sites

The sad thing is the Irish are now deluding themselves that tourism can save the country. Reminds me of the place back in the 80s. Everything geared to getting in more tourists, whatever the cost...

Tourism has slumped because (1) cost of everything is eyewatering I paid 6 Euro for a cup of coffee and Euro 7 for a pint of Guinness in Dublin - second most country in Eurozone after Denmark I understand (2) Ireland is so similar to everywhere else in this globalised world of ours. For example, most of the people serving you are E European, etc. (no harm in that, but it doesn't fit in with the paddywhackery portrayed by the tourist board - my travelling companion remarked on a small town 'have the Irish swapped this place with Russia?' LOL!)

I'm not going back there on holiday if I can help it! It was generally pretty awful. People pretty miserable, etc., as you would expect.

That is something left-liberals don't understand. They love tourism because they view it as non-industrial economy. Which they hate anything like steel mills, nuclear power plants, chemical plants, etc.. But they realize they need some jobs, and in days past stourism provided an ok if unstable living to people. It won't ever be jobs like big time wages and pensions and benefits like steel, auto or dockyard workers.. but people can sort of get by.

But sadly they also support rabid diversity and global trade, to turn everywhere into a clone of everywhere else. Peopletravel because either it is incredibly beautiful weather, beaches.. or to get a unique cultural experience.

Share this post


Link to post
Share on other sites

Well, I imagine that for most folk, that extra €1200 p.a. in interest is equivalent to a months take home wages.

surprised we're still waiting for someone to walk in a bank and go postal. Someone struggling already, wife not the most understanding, kids just keep asking for more, boss bulling him with threats of redundancy, repo letter lands on the mat, shotgun in the cupboard. I can't imagine we'll get through the impending hundreds of thousands of repos without some literal blood on the carpet. Wouldn't fancy being a bank manager very much.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 312 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.