Announcement of cessation of new mortgage business: from 1st May 2023, Ulster Bank will no longer accept new mortgage lending applications. This includes applications to move to a new property, port a tracker rate or for a top up mortgage and applies to all mortgage customers with the exception of existing Offset Mortgage customers and product switch applications.
Additionally, any mortgage loan offer issued after March 20th will be valid for 4 months.
Further details can be found on our Customer Support Hub here under your specific mortgage type:
Announcement by ECB of a rate increase: the European Central Bank (“ECB”) announced a base rate increase of 0.50% to 3.00% on 2 February 2023. We will write to all of our impacted customers within 10 business days of the announcement to explain what this will mean for their monthly mortgage payment. Please Note: this change will only impact ECB Tracker Mortgages
If you feel that you may have difficulty repaying your mortgage, we’re here to help. You can call our Arrears Unit on 1800 435 763 or log on to www.ulsterbank.ie/managingdebt where you can leave your details with us and we’ll call you back at a time that’s convenient to you.
WARNING: YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP PAYMENTS ON A MORTGAGE OR ANY OTHER LOAN SECURED ON IT
WARNING: IF YOU DO NOT MEET THE REPAYMENTS ON YOUR LOAN, YOUR ACCOUNT WILL GO INTO ARREARS. THIS MAY AFFECT YOUR CREDIT RATING, WHICH MAY LIMIT YOUR ABILITY TO ACCESS CREDIT IN THE FUTURE
WARNING: YOU MAY HAVE TO PAY CHARGES IF YOU PAY OFF A FIXED RATE MORTGAGE EARLY
VARIABLE RATE LOANS: THE PAYMENT RATES IN THIS HOUSING LOAN MAY BE ADJUSTED BY THE LENDER FROM TIME TO TIME
Variable Rate Representative Example Assuming a total amount of credit of €100,000 repayable over 20 years at a borrowing rate of 4.3% (variable), the cost per month is €621.90 excluding insurance. The total amount to be repaid is €149,294 which includes a release of security fee of €38. The Annual Percentage Rate of Charge is 4.4% (variable). The additional cost per month of a 1% rise in the rate of interest of such a mortgage is €54.74 and would be payable monthly. The above quotation is for illustrative purposes only.
Fixed Rate Representative Example Assuming a total amount of credit of €100,000 repayable over 20 years, initially on a fixed rate for 5 years at 2.2% and then a variable rate of 3.7% for the remaining 15 years would require 60 monthly payments of €515.41 and 180 monthly payments of €572.25. The total amount payable would be €133,967.12 made up of the loan amount of €100,000 plus interest of €33,929.12 and a security release fee of €38. The Annual Percentage Rate of Charge is 3.0%. After the initial fixed rate period ends, an additional 1% rise in the variable rate would give rise to an additional cost at that time of €39.88 monthly. The above quotation is for illustrative purposes only.
Affordability - For your protection
- Credit facilities are subject to repayment capacity and financial status
- The loan amount is not based on one fixed formula
- Factors reflecting the repayment capacity of each applicant are individually assessed based on a number of factors including qualifying income, net disposable income and existing commitments
- Written quotations are available on request from any Ulster Bank branch
- Ulster Bank subscribes to the Irish Banking Federation voluntary code of conduct on pre-contractual information for home loans. A copy of this brochure is available in all branches
Details of our mortgage fees
The fees we may charge for our mortgages are listed below, you may not be charged these fees in all circumstances.
Ulster Bank requires that a valuation of the property offered as security is carried out by a valuer acceptable to the Bank. This valuer will be instructed by Ulster Bank.
Ulster Bank currently offer a free standard valuation on our new mortgages. Only one free valuation per customer applies.
When payable, this fee applies when Ulster Bank instruct a Valuer to prepare a Valuation Report over the mortgage property.
The fee is €155.
Release or Vacate of Mortgage Fee
If the security includes a new mortgage over property that is not your private dwelling place, you will have to pay our solicitors’ fees in connection with the mortgage loan. This charge is payable directly to Ulster Bank’s Panel Solicitor.
The fee is €38.
For full details, please read our Mortgage Tariff of Charges brochure below.
Important information about your fixed rate mortgages
Early Redemption Charge
If you pay off a fixed rate mortgage before the end of the agreed fixed period or change to another interest rate before the end of the agreed fixed rate period, an early redemption charge will be applied. This charge will be either an amount calculated using this formula or six months interest, whichever is lower:
Redeemed amount x (R - R1) x Time remaining in days until the end of the fixed rate period) divided by 360.
In this formula:
Redeemed amount means the estimated average loan balance between the time of the proposed repayment or interest rate conversion and the end of the relevant fixed rate period, assuming that no such repayment or interest rate conversion takes place and that all scheduled repayments of the loan are made by the borrower under the terms specified in the loan offer. Where a lump sum repayment is made, redeemed amount shall mean the amount of the lump sum repayment.
R means the interest rate available to the lender for funds placed in the money market on the start date of the relevant fixed rate period for the duration of the relevant fixed rate period.
R1 means the interest rate available to the lender for funds placed in the money market on the date of the proposed early repayment, lump sum repayment or interest rate conversion for the remainder of the relevant fixed rate period. The rate applied is based on the remaining fixed rate term of the mortgage, rounded to the nearest month if less than one year or to the nearest year if greater than one year.
Time means the number of days from the date of early repayment, lump sum repayment or interest rate conversion to the end of the relevant fixed rate period.
Six months interest is the estimated interest that would be payable in the six months following the proposed repayment or interest rate conversion.
In the example below, a customer took out a 5 year fixed mortgage at a rate of 5.00% on 1st January 2014. On 4th January 2015, the mortgage outstanding was €100,000 and the customer opts to break out of the fixed rate. The breakage cost calculation is:
Redeemed Amount = €87,832.42
R (Market rate on 1st January 2014) = 2.849%
R1 (Market rate on 4th January 2015) = 1.713%
Time = 1,457 days
Breakage Calculation = (Redeemed Amount x (R-R1) x Time) divided by 360 = (€87,832.42 x (2.849% - 1.713%) x 1,457)/360 = €4,038.22
Six Months Interest = €2,500
Therefore, in this case the customer would be charged the lesser amount of the six months interest i.e. €2,500.
When your fixed rate mortgage expires you will revert to a follow on Variable Rate or any other mortgage product that you may be offered at this time. Follow on Variable Rates are not linked to the European Central Bank (ECB) base rate or SVR, this means the rate can increase at any time even if there is no change in either of these rates.
Important information about your variable rate mortgages
- Flexible mortgage repayment options are only available with our variable rate mortgages
- Payment holidays are subject to approval and conditions and are not available during the first six months of your mortgage
- Interest will continue to accrue during a payment holiday, and when a payment holiday has ended the underpaid amount will be included in the mortgage balance and the repayment will be calculated over the remaining term
- The mortgage term will not be increased beyond that which was originally sanctioned
- If you choose the payment-free months option and subsequently revert back to 12 monthly payments, your repayments will be recalculated and reduced accordingly
- Written quotations with preferred payment free months available on request from any branch of Ulster Bank
- New business Variable Rates are linked to Standard Variable Rate (SVR) which is not linked to the European Central Bank (ECB) base rate. This means the rate can increase at any time even if there is no change in the ECB base rate