Cork woman sues AIB after investment goes wrong

the_syco

http://news.eircom.net/breakingnews/19168048/?view=Standard
http://www.breakingnews.ie/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
http://www.examiner.ie/breakingnews/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html

A Co Cork woman is suing AIB for damages claiming the bank's bad advice resulted in her losing €60,000 in an investment.

Hospital housekeeper Doreen Rock of Ballinora, Waterfall says she was persuaded to invest in a bond scheme when she had made it clear she wanted a risk-free investment.

Doreen Rock has told the court she took it for granted everything was "above board" when she signed up to a bond investment with AIB.

She claims she had made it known to the bank at all times that she wanted a risk-free investment and had turned down an earlier offer to move her money from a low-yielding deposit account.

She said it was only when she met with bank staff that she was persuaded to invest €100,000 in the Hibernian aviva spectrum bond scheme, which resulted in losses of €60,000.

She claims she was subject to undue influence and was improperly advised by AIB.

In reply, the bank said Doreen Rock signed a form saying she understood the nature of the investment which satisfied them that she knew what she was doing.

LoL. I can't seriously believe anyone who thinks any investment is without risk - if it were risk free, everyone would be doing it.

AckwelFoley

the_syco wrote: »

LoL. I can't seriously believe anyone who thinks any investment is without risk .

Shes from Cork.

Believe

Dravokivich

cant help but think of the line "no money back, no garentee" from the only fools and horse theme tune :-P

whiteonion

the_syco wrote: »

http://news.eircom.net/breakingnews/19168048/?view=Standard
http://www.breakingnews.ie/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
http://www.examiner.ie/breakingnews/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
If they in fact told her that her investment is risk free they are obviously guilty of fraud.

MagicSean

Where did a hospital housekeeper get 100k?

Tayla

I think with some of these kind of things you also pay an investment management fee or something like that so someone is supposed to be 'managing' your investment and if they let it drop and drop and drop and don't warn you then what exactly is the service you are availing of?

Poor Uncle Tom

k_mac wrote: »

Where did a hospital housekeeper get 100k?

Good housekeeping...

CoalBucket

I wonder is her solicitor "no win no fee"

Latchy

k_mac wrote: »

Where did a hospital housekeeper get 100k?

The last ever draw in the old Hospital Sweeptakes

( and that was a con to )

The Waltzing Consumer

whiteonion wrote: »

If they in fact told her that her investment is risk free they are obviously guilty of fraud.

If she actually believed risk-free investments exist in the commercial world, she has no credibility and I say her testimony is bull! They probably told her a thousand times but in one ear, out the other. She is like the classic idiotic customer,

"keep your receipt if you want to change it or refund it"
"make sure to hang on to your receipt if you want to bring it back"
"okay"

A week later
"Hi, I would like to return this"
"Do you have a receipt?"
"no"
"You need to have a receipt to return items"
"Well noone ever told me"
"We tell all our customers to keep their receipts"
"Well noone told me"

IDIOTS!!!!!:mad:

Senna

It is possible to invest in guaranteed scheems, and i'd say this is what she thought. If AIB told her it was risk free and it wasn't, they are responsible and should be sued.

whiteonion

If they told her that her investment was rich free they are guilty of fraud, simple as that and as someone said before they were suppose to manage this investment for her because they are supposedly "professionals".

If a doctor fooks up your surgery you are able to sue him.
So why shouldn't you be able to sue a banker if he fooks up your investment that he/she is managing?

ascanbe

Why wouldn't she get the impression that investment is risk free?
Look at the bailout for banks and developers. If she's a tax-payer, she's already paying towards picking up the tab for others' stupid investments.

StupidLikeAFox

The value of your investment may fall as well as rise

whiteonion

ColHol wrote: »

The value of your investment may fall as well as rise

For sufficiently rich people there are bailouts if their investments go bust. We have a superclass in society who's investments are in fact risk free.

flutered

whiteonion wrote: »

For sufficiently rich people there are bailouts if their investments go bust. We have a superclass in society who's investments are in fact risk free.

op you are too sane to be posting on ah, move to the politics or the ecomomy threads.

squod

whiteonion wrote: »

For sufficiently rich people there are bailouts if their investments go bust. We have a superclass in society who's investments are in fact risk free.

Excellent show on BBC last night showing the migration money made into bankers pockets. Jesus, I felt like a bluddy fool watching it. Professional gamblers without a care in the world, pockets full of cash and the taxpayer to back them up.

hmmm

In fairness, and I don't know anything about this case, a client looking for a "risk free" investment is usually looking for something capital protected. There are products (deposit account being the most obvious) that you can use for this. There may be a difference between what she thinks she wanted now she has lost money and what she wanted at the time, but that's for the court to decide!

Gunsfortoys

It is possible, if you research, to get absolute return Investments. Does anyone in here actually believe that anyone would blindly invest 100,000 in something they don't understand? Would you?

Tayla wrote: »

I think with some of these kind of things you also pay an investment management fee or something like that so someone is supposed to be 'managing' your investment and if they let it drop and drop and drop and don't warn you then what exactly is the service you are availing of?

I agree. The advisor however does not have to do this, it is their job to tell you what markets they are invested in and what returns you may get on that market. Use your brain, research your investments before going headfirst! My advice would be to use a broker that charges the companies they deal with, rather than charge the customer the management fees etc.

whiteonion wrote: »

the_syco wrote: »

http://news.eircom.net/breakingnews/19168048/?view=Standard
http://www.breakingnews.ie/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
http://www.examiner.ie/breakingnews/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
If they in fact told her that her investment is risk free they are obviously guilty of fraud.

Again would you invest 100,000 blindly into an investment on what a banker tells you?

Senna wrote: »

It is possible to invest in guaranteed scheems, and i'd say this is what she thought. If AIB told her it was risk free and it wasn't, they are responsible and should be sued.

Yes, it is possible and it is also possible to get investments that don't charge fees, you are best going to a multi-agency intermediary as most of them charge the companies the fees and not the customer.

whiteonion wrote: »

If they told her that her investment was rich free they are guilty of fraud, simple as that and as someone said before they were suppose to manage this investment for her because they are supposedly "professionals".



If a doctor fooks up your surgery you are able to sue him.
So why shouldn't you be able to sue a banker if he fooks up your investment that he/she is managing?

I can't...I don't even... so she never signed a contract, she just said here is 100,000 grand? BS!

whiteonion wrote: »

For sufficiently rich people there are bailouts if their investments go bust. We have a superclass in society who's investments are in fact risk free.

The warnings are all over the investment contract. The reason people invest in risky investments is the possibility of high returns. I know a man that invested 50,000 in 2009 in an investment, the investment was capital guaranteed, it was invested in emerging markets, he wasn't charged any fees and made a return of 17% so far. He researched his stuff and done exactly what he wanted with the help of the advisor

squod wrote: »

Excellent show on BBC last night showing the migration money made into bankers pockets. Jesus, I felt like a bluddy fool watching it. Professional gamblers without a care in the world, pockets full of cash and the taxpayer to back them up.

Yes, people that invest blindly in things aren't gamblers.:rolleyes:

Sarn

Now it is possible that there may have been some misleading guidance provided or perhaps she misinterpreted what she was told. However, these products also come with a cooling off period, so there was plenty of time for her to read up on the ins and outs of the bond at her own leisure and get out if she wasn't happy.

whiteonion

Why anyone would pay high fees for a managed fund when they can get an index tracking ETF much cheaper is beyond me.

Where To

if she wins her case Paddy Power will be in my sights


He never told me my horses might not win:mad:

melekalikimaka

Gunsfortoys wrote: »

It is possible, if you research, to get absolute return Investments. Does anyone in here actually believe that anyone would blindly invest 100,000 in something they don't understand? Would you?

look at all the fools who bought houses in the last 5 years.

the_syco

whiteonion wrote: »

If a doctor fooks up your surgery you are able to sue him.
So why shouldn't you be able to sue a banker if he fooks up your investment that he/she is managing?

If your doctor tells you it's a risky procedure, and you sign a document agreeing that it's risky, and then it goes wrongly, would you then sue the doctor because you thought it was risk free?

thee glitz

whiteonion wrote: »

Why anyone would pay high fees for a managed fund when they can get an index tracking ETF much cheaper is beyond me.

It's so they can get a better return. Mind you, they probably won't.

Terry

Unlucky.
There's no such thing as free money.

th3 s1aught3r

the_syco wrote: »

http://news.eircom.net/breakingnews/19168048/?view=Standard
http://www.breakingnews.ie/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
http://www.examiner.ie/breakingnews/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html

LoL. I can't seriously believe anyone who thinks any investment is without risk - if it were risk free, everyone would be doing it.

Considering its AIB , she was probably told a pack of lies and overcharged at some point

cooperguy

There are plenty of capital protected investment schemes so people criticising her for thinking there is no such thing are wrong!

NeedaNewName

A lot Bank staff lie to people and deceive them as a lot of their "sales" are commission based. Like a lot of sales people tbh

I once took a small loan out with a UK bank and one condition was that I took out the insurance of 10 a month. It was only for about 6 months but I was made aware I wouldn't get the loan otherwise.

A month or so later I found out that it was common practise and illegal due to a media burst on the practise. I went back to the bank to get it stoped and they said sorry tuff sh1t you ticked the box asking for it.

I was livid at the time!

enda1

She should just draw up a contract saying AIB put their HO in Ballsbridge as guarantee to the investment - then send in the repo men.

Two can play at that game.

whatsamsn

:pac:

The neck on her. She lost her money on a bad investment and now wants to get the money back.

Tell her to get lost is what I say.

Jesus Wept

You can't have it both ways.

On the one hand, a lot of people will are generally talking about how the banks were wreckless, the banks are terrible, the banks don't give a ****, send the bankers to jail while at the same time saying, oh no, no one was mis-sold, the neck on them, where's my bailout, they are just greedy tools and signed on the bottom line.

Yes, while they signed on the bottom line, many people were mis-sold.
The banks had a habit of largely ignoring what people asked for and directing towards the funds that they were told to push, and yes people agreed.

Silly people, dodgy banks.

wardy2

the_syco wrote: »

http://news.eircom.net/breakingnews/19168048/?view=Standard
http://www.breakingnews.ie/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
http://www.examiner.ie/breakingnews/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html

LoL. I can't seriously believe anyone who thinks any investment is without risk - if it were risk free, everyone would be doing it.

Well i have to say mate ,that you are 100% wrong,iv made a inverstment with 'Bank of Ireland' in 2008 ,on a no risk inverstment for 5 years ,when i sign the forms the lady clearly says to me what risk do i what to take with it,once you still have your forms that you sign ,you a have come back with them,if they try anything
as i know there are three types of risks.

''no risk'' who get your money back plus what ever it earn on a low interest rate

''mid risk'' half of your money your risking

''high risk'' who risk 100% of your money but you get very high rate of interest back

just to let you know:D

CDfm

I worked in the investment industry in the UK and people do not inherently understand risk. They do however trust their financial advisor and banks do target people with cash on deposit thru their bancassurance sales force to get them to invest and this earns commision for the financial institution.

Typically the commision on a unit linked investment was 3 to 5% of the amount invested - which went to the advisor.

All kinds of techniques were used to sell - including explaining portfolio content to investors.

I once worked for a company where a fund manager experienced some kind of a meltdown loosing 60% of a fund value in a few short months. He left the company to resurface elsewhere and lost a few billion.

CSNY_fan

the_syco wrote: »

http://news.eircom.net/breakingnews/19168048/?view=Standard
http://www.breakingnews.ie/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
http://www.examiner.ie/breakingnews/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html

LoL. I can't seriously believe anyone who thinks any investment is without risk - if it were risk free, everyone would be doing it.

I'm reliably informed that the bank have agreed to pay substancial damages and costs.

whoopdedoo

The Waltzing Consumer wrote: »

If she actually believed risk-free investments exist in the commercial world, she has no credibility and I say her testimony is bull! They probably told her a thousand times but in one ear, out the other. She is like the classic idiotic customer,

IDIOTS!!!!!:mad:

and you think every banker is completely honest and above board yes?

it's not too much of a stretch the lady was seen to have 100,000 and maybe a soft touch for throwing it all at some stupid investment with the banker only wanting his cut for setting it all up

I'm sick of people blaming the Joe soaps on the street for the sleeveen bankers scams!!

kraggy

the_syco wrote: »

http://news.eircom.net/breakingnews/19168048/?view=Standard
http://www.breakingnews.ie/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html
http://www.examiner.ie/breakingnews/ireland/cork-woman-sues-aib-after-investment-goes-wrong-489981.html

LoL. I can't seriously believe anyone who thinks any investment is without risk - if it were risk free, everyone would be doing it.

Prize Bonds are seen as an investment but are guaranteed.

Some investments are actually protected from decreasing in value.

x in the city

Poor Uncle Tom wrote: »

Good housekeeping...

for some reason consuela comes to mind

she of family guy fame...

Ficheall

I've money in a fund in the credit union for a few years, where they've told me the principal is guaranteed, but that a return of 4% pa is expected. If the 4% doesn't happen, I'm not pushed - but I'd expect my initial investment to be secure.
I was assured it would be by the person setting up the fund for me. I can't remember if I read all small print, but I'm sure I don't have any form of contract or receipt.

I'm sure if they decided to keep all my money there's nothing I could do, and I couldn't argue that it wasn't partially my own fault... but I wouldn't say that it's impossible that this woman was misled...

Tigger

It's a context issue. The investment manager actually said "Your money is as safe as houses."