Equity Release

Early Repayment

If you repay your mortgage loan early when you are on a variable rate of interest, we charge no redemption fee.
If you repay your mortgage loan when you are on a fixed rate of interest, it is likely we will suffer a funding loss. If we suffer such a loss you must pay us compensation when we ask you to pay it. Such compensation will be equal to “C” where:C = Ax (R% - R% ) x D / 365 and,
“A” = the amount repaid early (or the amount which is changed from the fixed rate to a new rate) averaged from the date of early repayment (or rate change) to the end of the fixed rate period to allow for scheduled repayments (if there are any) and interest charges.
“R%”= the annual percentage interest rate which was the cost to us of funding an amount equal to “A” for the originally intended fixed rate period.
“R1%”= the annual percentage interest rate available to us for a deposit of an amount equal to “A” for a period equal to “D”.
“D” = the number of days from the date of early repayment (or rate change) to the end of the fixed period.
Here is a worked example:-   

“Amount” = 250,000

“R” = 5 %

“R1” = 3%

“D” = 2 years or 730 days

C = 250,000 x (5%-3%) x 730 / 365

So, C = 250,000 x 2% x 730 / 365

C= €10,000

Arrears

If you do not pay us a repayment installment or other sum of money by the date you were due to pay it, we may charge you a default interest rate of 0.5% per month or part of a month (which is 6% per annum) on the unpaid sum. This default interest is added to normal interest. We do not charge borrowers default interest when they are both (a) in a Mortgage Arrears Resolution Process under the Central Bank's Code of Conduct on Mortgage Arrears; and (b) are co-operating reasonably and honestly with us.

Fees and Costs

The Bank requires that a valuation be carried out by a valuer acceptable to the Bank (see valuation) and that the appropriate fee be paid by you directly to the valuer.  The amount of the fee will be determined by reference to the value of the property and if a loan agreement with you is withdrawn this fee may be refunded.

Legal fees (excluding costs associated with the Bank's legal investigation of title for the purpose of the mortgage) are payable by the borrower to his or her solicitor. The amount will depend upon the arrangements made between these parties. Where security is perfected in-house by the Bank a security perfection charge of €400 is payable by the Borrower.

The following additional costs will be payable by the borrower for buy-to-let properties and principle dwelling housing whereby loan amount is €1.5 million or over:

1. The borrower must reimburse the Bank for the legal costs incurred by the Lender in effecting the Lender's Security and related tasks (excluding costs associated with the Bank's legal investigation of title for the purpose of the mortgage);
2. The outlay and fees payable to state agencies for the registration of the Lender's Security, which must be remitted to the borrower's solicitor.

The Lender's legal costs to be reimbursed by the Borrower are the following:

• The Lender's solicitor's professional fee of up to a maximum of €950 plus Value Added Tax per property
• Outlay and fees payable to state agencies for the registration of the Lender's Security which shall not exceed €300 per property.

The Lender's legal costs, once paid by the Borrower, are not refundable. Typically, these must be paid at closing of the transaction.

Valuation

The Bank requires that a valuation be carried out on the property(ies) being offered as security. This valuation must be completed by a valuer acceptable to the Bank and any such valuation report remains the property of the Bank. No responsibility whatsoever is implied or accepted by the Bank for the value or condition of the property by reason of such valuation. You are strongly recommended to arrange an independent valuation and structural survey of the property(ies).

You are responsible for the payment of the valuation fee. If the loan is refused then the valuation fee may be refunded to you. Please note that a valuation report should only be arranged after you have received "Loan Offer".

You are entitled to your own copy of the valuation report.

Regulatory Notice for Asset Covered Security Act

Bank of Ireland Mortgage Bank - Prudent Market Value for the purposes of the Asset Covered Securities Act, 2001 Regulatory Notice (Section 41(1)) 2004 [Irish Residential Property Assets/Mortgage Credit Assets]. For the purpose of satisfying publication requirements which apply under the above referenced regulatory notice, Bank of Ireland Mortgage Bank hereby gives notice that the Prudent Market Discount that applies in relation to Bank of Ireland Mortgage Bank for the purposes of that regulatory notice is currently 0.15 (in percentage terms 15%).

Bank of Ireland Mortgage Bank subscribes to the European Voluntary Code of Conduct on Pre-Contractual Information for Homeloans. A copy of this Code is available from Bank of Ireland Mortgages.

Bank of Ireland and Bank of Ireland Mortgage Bank, trading as Bank of Ireland Mortgages, are regulated by the Central Bank of Ireland. Bank of Ireland Mortgage Bank is a member of the Bank of Ireland Group.