Bank of Ireland refunds customers following mortgage calculation mistake

Thursday, February 18
Ciarán Mather

Bank of Ireland has confirmed that it will refund around 35,000 customers following an error in calculating mortgages.

First reported by Virgin Media News, the mistake is set to be an expensive one: it is estimated that it will cost the bank around more than €572,000.

The Bank said in a statement: 'This meant that they were paying on average 80c extra each month and the average total reimbursement to customers is €16.35.'

'We are in the process of writing to customers to notify them of this error, refund them the amount they overpaid to their mortgage, and to apologise for any confusion caused.'

For those affected by the mistake, future repayments now have to be recalibrated to take account of the bank's error, in order to ensure they still clear the remaining balance by the time their mortgage matures.

Just before Christmas, Bank of Ireland had to write to thousands of its customers to apologise for incorrectly reporting details of their loan transactions to the Central Bank’s credit register.

Meanwhile, another bank, AIB, apologised to 6,000 of its customers after sharing incorrect details about them to the Central Bank’s credit register last month.

In related news, it has been heavily speculated that Ulster Bank will quit the Irish market after 160 years serving residents in the country, due to the recent break-up of the lender's €20.5 billion loan book.

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