Ulster Bank/First Active Offset mortgages, here's the answer to previous thread!

wellboy76

https://www.boards.ie/discussion/comment/121454686#Comment_121454686

I managed to draw down in September and was planning to do so again this year.

spoke to my accountant yesterday. I got an offer of €7100 and he just basically said, take it and enjoy it. Nice gift to get after the Christmas. Nothing I can do will increase the amount. If it’s got the CB’s approval then it is what it is.

wellboy76

https://www.boards.ie/discussion/comment/121460822#Comment_121460822

See what my accountant said just before this thread. Not one financial advisor has a clue on this.

soap1978

https://www.boards.ie/discussion/comment/121470942#Comment_121470942

I got the same answer from the uncle that is a accountant

Jim2007

MOD: The last thread on this topic was closed because it turned into speculation on the outcome without much substance. This time please stick to the facts of the matter as people are trying to assess how it well impact them and idle speculation and editorials are not helpful.

kenif

https://www.irishtimes.com/your-money/2023/12/10/mortgage-customers-left-in-the-dark-on-tax-implications-of-goodwill-payment/

Nothing new really but a bit of feed back from revenue

Seurat

It would be helpful if we had the tax advise from Revenue before the payment hits the account. That sounds unlikely now given Ulster Bank haven’t been in contact with them and we have the Christmas holidays coming up making only 17 working days for Revenue to receive the information, assign it to someone and get guidance out to us (assuming Revenue don’t work between Christmas and New Years)

kenif

"Firstly, the nature of the compensation payment itself would need to be determined to establish if it is revenue or capital in nature"

Don't want to read too much into it at this stage but Revenue are calling it compensation.

Jim2007

https://www.boards.ie/discussion/comment/121480706#Comment_121480706

There are lots of things that the Revenue don't comment or issue practice guidelines on. In this case we are talking about a very small number of tax payers so I would not expect them to do much about it for the moment.

woddyf26

I have a mortgage and the amount in the letter is €5250 but it will be finished in May and I have €4450 remaining on it so what happens in this situation

WhatsGoingOn2

The money is yours to do whatever you want with it. You don't have to pay off your mortgage with it.

McSween

Has anyone uploaded the documents. I tried the phone number, nobody available

Jim2007

https://www.boards.ie/discussion/comment/121530197#Comment_121530197

MOD: To not upload documents here.

paul321123

I have uploaded the document but when I was talking to them in the phone I was told only one person needs to upload their documents even though I my wife is on the mortgage as well, it was easy to do once you have the link sent to you,

fluffy stuff

Out of interest has anyone else here not got their letter yet? I contacted them just before Christmas as I assumed they were sending them in waves, to be told mine was sent out ages ago. They said ,send it again but I've no idea where the first one went!

phormium

https://www.boards.ie/discussion/comment/121544630#Comment_121544630

Over on Askaboutmoney there was a couple of posters whose letters were delayed, they were practically ringing daily but even they have got them at this stage I'm fairly sure. You should definitely have it by now, they weren't that staggered, only over the course of a few days, have they correct address on it, do you always get your other offset post normally?

fluffy stuff

Yes I always get my regular offset post so it's very odd. Hopefully in the next few days he new one will arrive. Otherwise I guess I'll find out on Jan 10th 🤣

paneur

Has anybody had any legal feed back..?

Have engaged with solicitor to get their opinion, but I'm sensing a reluctantance from them to give a definitive answer....

Or maybe I'm paranoid 🤔

Jim2007

https://www.boards.ie/discussion/comment/121561018#Comment_121561018

Why would you expect a definitive answer from any professional if they don't have one? And there will be nothing but (reluctant) opinions until it is adjudicated upon by the courts. And really anyone one gives you a definitive answer, then you should be very careful about using them.

Iamcurious

I contacted central bank and they told me that I can only lodge a complaint with Ulster bank, which I have done, then they have 40 days to reply and if they don't then I can take it to the Financial Ombudsman to bring it further.

I also rang UB and told them I wasn't excepting this money and I wanted my T n C with first active honored.

Villenelle

Hi

Late to the party. 50k left over 7 years at the moment. Annoyingly, we have savings but in the credit union, 16k there. We used the facility account in early stages of mortgage, but then hit recession etc. Only saving for last few years, and with talk of UB leaving we put the money in CU to save the hassle of moving it.

We have been offered the standard €5250 as we haven't used the facility account, gutted now although don't know how much we have lost as a result. With savings growing, and possible lump sum on the way, we have possibly made a huge mistake.

kenif

Move the 16K now and contact Ulster bank. I have heard they are accommodating people in such situations up to a certain date.... They may rework your compensation. Though no idea what it will be worth or how they will factor it in to any calculation.

supergroove

Hi All, I am late to the party here but am just wondering if there have been any new developments. I got my letter over a month ago. Ive been asked to upload the documents but haven’t yet. They told me that the documents have nothing to do with receiving the payment but more about identity I suppose and KYC.

supergroove

I read somewhere maybe in the letter that they told the central bank what they were doing which I guess is what you suspected.

Jim2007

https://www.boards.ie/discussion/comment/121575532#Comment_121575532

As all of this stuff will have been gone through several legal reviews before it was made public, it would probably be a very good idea to get legal advice before outright rejecting the offer, so you have some indication of what the alternative might look like.

For instance, if you read the T&C that you originally signed up to, I full expect that they contain provisions for the transfer of your mortgage and provisions for the varying of those T&C. So what would your complaint actually be and even more important is it something within the remit of the Ombudsman.

JJ O Malley

Did anyone get the payment? Put my letter in a safe place so may never find it again, but think it said payment is planned for the 10th January? Nothing landed yet..

Cheers

JJ

rameire

I rang Ulster and the agent advised the payments would be starting today and be completed over the next week.

so it sounds like they will be doing it in bits over the next few days and not in one go.

whoareya1

As a matter of interest..has anyone on here gotten an answer from Revenue as of late about the tax treatment of this?

darthinvader

Revenue have not received all information from Ulster Bank yet to determine if payment is exempt or taxable.

paul321123

Got another letter from ulster bank today which said that the money will be in my account within 10 working days from the date on the letter, anyone else get this, it aldo looks like if you were not using the facility account but would have used it in the future that you could be entitled to them recalculating your sum that you will receive, anyone get this new letter or has anyone received their payment yet

Abel Magwitch

https://www.boards.ie/discussion/comment/121607403#Comment_121607403

I got the letter also but no payment. Should be in by end of next week.

i’m not contesting what they calculated, I am very happy with the payout sum