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11-07-2019, 15:38   #151
Summer8181
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I called EBS yesterday. 14 years into my mortgage, 1 year into a fixed term. Breakage fee was 0.

Tempted to move to AIB - my current account and CC are there, they pay 2k towards the legal fees and they have an option of a 6 month moratorium on mortgage payments.

My car is on its last legs (probably won't pass NCT in September) so I'm seriously considering a move - the moratorium would really help with the process of getting a new car.

How was it free? Were you leaving or paying a lump sum?
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11-07-2019, 15:47   #152
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Just off the phone to EBS, breakage fee is over €3600 and only valid for 5 days. How do they get away with this. I only want to pay lump sum. Have 18 months left on fixed term.
Ask them to send you a letter to confirm the amount with the calculation. I was told the same thing last year, 1 year into a 4 year fixed rate. When I received the letter the breakout fee was calculated at 0. It was a different bank but I know of others who were told high amounts on the phone only to receive a much lower (if not zero) amount on the letter.
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11-07-2019, 15:49   #153
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Just off the phone to EBS, breakage fee is over €3600 and only valid for 5 days. How do they get away with this. I only want to pay lump sum. Have 18 months left on fixed term.
breakage fee will be on the full amount of the mortgage, assume the lump sum is lower, so it will be pro rata
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11-07-2019, 15:51   #154
Mr E
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How was it free? Were you leaving or paying a lump sum?
Not at all. I just called them up and she put me on hold while she spoke to the mortgage loans team. 30 second later, she came back on and said the breakage fee (at the moment) was 0.

After reading the horror stories about breakage fees in this thread, I was as suprised as you are.
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11-07-2019, 15:56   #155
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Some good information here around breaking fees and penalties:

https://www.askaboutmoney.com/thread...-costs.204427/
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11-07-2019, 16:08   #156
Summer8181
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Anyone know how ebs calculates breakage fee? 3.15 is the rate, 98k is amount out standing and 141 payments left. 18 months still left on fixed contract

98k is to closest thousand
3600 is to closest hundred

That is as much as they would tell me over the phone.
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11-07-2019, 21:57   #157
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I called EBS yesterday. 14 years into my mortgage, 1 year into a fixed term. Breakage fee was 0.

Tempted to move to AIB - my current account and CC are there, they pay 2k towards the legal fees and they have an option of a 6 month moratorium on mortgage payments.

My car is on its last legs (probably won't pass NCT in September) so I'm seriously considering a move - the moratorium would really help with the process of getting a new car.
On the moratorium - just be aware that interest continues to acrew during the six months.
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12-07-2019, 09:10   #158
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I stupidly didn't ask the solicitor how much it would cost. I used the same guy who I used to buy my house 2 years ago. I just presumed it would have been a cheaper fee than that. It was indeed a hassle!
€2,300 solicitor fee for switching is crazy, we were charged half that by our solicitor earlier this year for our switch.

Sounds like the solicitor wanted a chunk of your cash back. Wouldn't be surprised to start hearing of solicitors upping the fees of a switch to try and benefit from the cash backs people are taking advantage of.
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12-07-2019, 09:11   #159
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Shop around
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12-07-2019, 11:06   #160
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Just requested a new breakage fee from AIB.
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12-07-2019, 11:16   #161
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Some good information here around breaking fees and penalties:

https://www.askaboutmoney.com/thread...-costs.204427/
Some good info there thanks..

Alot of talk about moving etc, however would breaking cost be Zero if you just want out of fixed deal and remain in the same bank. For example if Ireland had a proper competitive system and some German banks came in and BOI reduced their fixed a few points and I didn't want to go through robbing solicitors
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12-07-2019, 16:41   #162
Del007
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€2,300 solicitor fee for switching is crazy, we were charged half that by our solicitor earlier this year for our switch.

Sounds like the solicitor wanted a chunk of your cash back. Wouldn't be surprised to start hearing of solicitors upping the fees of a switch to try and benefit from the cash backs people are taking advantage of.
It was €1,200 for the same solicitor when I bought the house less than 3 years ago and he had to deal with the council then so it was more work for him. I was shocked when he nearly charged me double
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12-07-2019, 18:58   #163
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Originally Posted by bazz26 View Post
Some good information here around breaking fees and penalties:

https://www.askaboutmoney.com/thread...-costs.204427/
Some good info there thanks..

Alot of talk about moving etc, however would breaking cost be Zero if you just want out of fixed deal and remain in the same bank. For example if Ireland had a proper competitive system and some German banks came in and BOI reduced their fixed a few points and I didn't want to go through robbing solicitors
Break fee is a function of banks borrowing costs. Has nothing to do with their lending rates. You could do as you say break and refix at a lower rate. No change of bank so no solicitors fees. However some may require a new valuation.

Some people have already done this. For example, BOI lowered their fixed rates about 18 months ago -only by something like 0.25% if even that - cost €30 to break but is saving them €30 a month now.

Alternatively you can break and refix thereby extending your period of fixation. Ulster Bank is a good example they don't do traditional x year fixes. All their rates tend to be set until September 202x. Depending on when you fix you could turn a 2.3% 2 year fixed into an effective 4 year fixed at the same rate.
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13-07-2019, 10:03   #164
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With Aib @2.95 variable rate. They have a 3 yr fixed for 2.85%.

We have just started the process of going to Ulster bank @ 2.3% fixed for 2 years. There legal fee offer will cover solicitor costs & they cover valuation cost. We will save €85 a month.

We are using a mortgage broker this time.

We are going to treat our mortgage like a gas bill from now on. Switch rates, change bank.
In 2 years we will switch again or move to another fixed rate with UB. I can't see rates rising before then. But heah who knows?
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13-07-2019, 13:47   #165
Del007
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With Aib @2.95 variable rate. They have a 3 yr fixed for 2.85%.

We have just started the process of going to Ulster bank @ 2.3% fixed for 2 years. There legal fee offer will cover solicitor costs & they cover valuation cost. We will save €85 a month.

We are using a mortgage broker this time.

We are going to treat our mortgage like a gas bill from now on. Switch rates, change bank.
In 2 years we will switch again or move to another fixed rate with UB. I can't see rates rising before then. But heah who knows?
Did you get a quote from your solicitor?
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