Tracker Mortgage Examination


Update on Tracker Examination - October 2017 | pdf 395 KB

Since 2010, the Central Bank of Ireland has identified and pursued tracker mortgage related issues with lenders. As new issues continued to emerge, we decided that a system-wide review was necessary, to ensure that all lenders are acting in their customers’ best interests.  

We wrote to 15 lenders in December 2015 setting out the framework for carrying out the Tracker Mortgage Examination. The Examination covers all mortgage lenders who have sold tracker mortgages in Ireland at any time in the past. It covers both banks and other regulated lenders, and also includes lenders that are no longer selling mortgages as well as mortgages that have been redeemed or switched to another lender.

The Examination requires all lenders to examine:

  • The extent to which they met their contractual obligations to their customers
  • Their compliance with their obligations under relevant consumer protection regulations in their dealings with their customers
  • Their communications with customers in respect of these matters.

The Examination is a priority for the Central Bank and we have set specific timelines for lenders for the completion of certain phases. Lenders have largely completed Phase 2, the review phase, by end September 2017 with two lenders submitting addendum reports in respect of further work they are undertaking. As lenders’ reviews are subject to ongoing Central Bank assurance work it is possible that additional impacted accounts may be identified as this work progresses.

Focus of the Examination

The immediate focus of the Examination is to ensure that the interests of impacted customers are protected and that lenders prioritise the identification of those concerned. Under the Principles for Redress lenders must stop further harm to impacted customers at the earliest possible time and must put in place a redress and compensation programme to fully address the impact their actions have had on these customers. The Principles for Redress also set out the Central Bank’s expectations for lenders to provide, amongst other things, additional payments to allow customers to seek independent professional advice.

Progress updates

Regular progress updates on the Examination have been published. The most recent update was published in October 2017. This update contained a report setting out the progress made by lenders in completing the review as well as information on the Central Bank’s assurance work, enforcement powers and activity in response to the Examination.

Information for consumers:

See also: