Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

TSB mortgage over payments

  • 26-04-2022 11:46pm
    #1
    CPTM
    Registered Users, Registered Users 2 Posts: 1,333 ✭✭✭


    Does anyone know what Permanent TSB's rules are when it comes to over-paying a fixed rate mortgage? What's the limit?

    10% of the starting balance over the term? Or 10% per year of the fixed term?

    I've asked them and they want to meet me before confirming.



Comments

  • #2
    AnRothar
    Registered Users, Registered Users 2 Posts: 581 ✭✭✭AnRothar


    I rang the Mortgage section and a very helpful staff member (2nd try) answered.

    They set up the mandate from their side and they never mentioned an upper limit.

    And it will be more than 10% a year and was more than 10% of the outstanding balance that day.

    Might have been to do with the time left to run (6.5years) but we have been paying away since.

    Strange that they wish to meet you.

    Ring them and clarify?

    Pro tip you will be holding for an human operator for a "few" minutes.



  • #3
    CPTM
    Registered Users, Registered Users 2 Posts: 1,333 ✭✭✭CPTM


    https://www.boards.ie/discussion/comment/118983709#Comment_118983709

    Thanks for that. And just to double check are you on a fixed rate? They never mentioned anything about penalties when you set it up? I'm hearing that apparently, officially, in the T's and Cs, they say that overpayments are not allowed at all, but in reality they don't systematically (or operationally) do anything about them when they happen so essentially there is no limit. I think that's probably why they want to meet me as opposed to putting it in writing. Strange because the other banks are fairly clear cut and simple about it all.



  • #4
    AnRothar
    Registered Users, Registered Users 2 Posts: 581 ✭✭✭AnRothar


    On a fixed rate for 5 years 2.5 to run.

    Break fee is zero confirmation in writing at the time.

    Saving by switching to another provider is not sufficient factoring legal and other costs.

    Switching to a lesser fixed rate is not a great saving vs overpaying.

    So left on old rate and just overpaying.



  • #5
    CPTM
    Registered Users, Registered Users 2 Posts: 1,333 ✭✭✭CPTM


    Yes sounds logical to me.. God you're so close now, it'll be great to clear it. Thank you very much for your help



  • #6
    Sunrise_Sunset
    Registered Users, Registered Users 2 Posts: 1,215 ✭✭✭Sunrise_Sunset


    I've never had any issues making overpayments with PTSB. Although, I haven't been anywhere close to 10% in overpayments.

    Generally the overpayment sits as account credit until you complete an overpayment form and send it off to them.



  • Advertisement
  • #7
    CPTM
    Registered Users, Registered Users 2 Posts: 1,333 ✭✭✭CPTM


    https://www.boards.ie/discussion/comment/118990546#Comment_118990546

    So do you simply phone up the mortgage department and ask to make an overpayment or how does it work? With KBC it's so handy, they have an overpayment IBAN that you can set up as a payee on your phone with your own mortgage account number in the reference field. So you can manage payments yourself instead of phoning customer service anytime you want to increase or lower the over-repayments.



  • #8
    CPTM
    Registered Users, Registered Users 2 Posts: 1,333 ✭✭✭CPTM


    Here's their official stance according to the website but sounds like, anecdotally at least, they don't actually enforce this.


    (iii) Where the lump-sum payment is made in respect of a fixed rate mortgage prior to the expiry of a fixed interest rate period, the applicant shall pay an additional sum calculated in accordance with the conditions relating to fixed rate loans as provided in general mortgage loan approval conditions applicable to the applicant’s mortgage. (Please see important information on ‘Fixed Rate Loans’ at the end of the terms and conditions).



  • #9
    Sunrise_Sunset
    Registered Users, Registered Users 2 Posts: 1,215 ✭✭✭Sunrise_Sunset


    I have my current account with them so I can make overpayments through online banking. I click "pay a bill" and both of my mortgage loans appear and I send money to them. The next business day it shows up as account credit. When I have the amount in credit that I then want to be applied to the loan, I complete an overpayment form, you can google this and the pdf will appear. I think it's about a 20 page document with a few different forms in it, but you only need one of the pages, the overpayment page. You complete it and post it to them. Or drop into any branch and they can send it in their internal post. If you don't have a current account with them, I think you just complete the form in a different way than I do. Cos when it asks where the money is to come from I tick the box "account credit" or something to that effect. It then asks the source of the funds, which I complete as "savings".



  • #10
    CPTM
    Registered Users, Registered Users 2 Posts: 1,333 ✭✭✭CPTM


    Hi Sunrise_Sunset, that's really great to know, I really appreciate it, thanks.



Advertisement