Existing Customer Offer FAQs

What is the Application of New Business Rates to Existing Customers?

As part of our ongoing commitment to ensure customers have the lowest monthly repayments possible, existing mortgage customers now have the opportunity to avail of rates offered to new customers. These rates vary depending on the mortgage amount relative to the value of the home (Loan to Value).

What do customers have to do? How do you apply?

1 Application Form
 
Simply complete the application form and send it back to us:
  • By post to Freepost, KBC Bank Ireland plc, Sandwith Street, Dublin 2
  • To your local KBC Hub throughout the country.
2 Valuation
 
You will need to complete a valuation of the property which is security for the mortgage account.
KBC provide a list of their panel of valuers on KBC.ie. You should contact one of your local valuers appointed by KBC to carry out a valuation of the property.
 
KBC will then review your completed application form including the valuation report, and if approved, and based on the current LTV, KBC will switch your current mortgage rate to the relevant loan to value (LTV) bracket.

Who is eligible?

The Option is only available in respect of mortgages for principal private residences. 

I am currently on a fixed interest rate – can I still apply?

If your mortgage account is currently on a fixed interest rate, you may avail of the option however you will be liable for break funding fees which will be calculated on the basis of the formula set out in your fixed rate agreement.  These break funding fees will be payable before the interest rate will be switched.  You should contact our customer services team at 1800 93 92 44 before proceeding to obtain further details of the break funding fees that would be payable.

Who does not qualify for the New Business Rates?

You may not avail of the Option if your mortgage account is currently on a Tracker Interest Rate.  If only part of your mortgage account is on a Tracker Interest Rate, you may avail of the Option in respect of the portion of the mortgage account that is not on a Tracker Interest Rate however the aggregate amount outstanding in respect of all portions of your mortgage account will be used for the purposes of calculating the Loan to Value Percentage. 
 
The Option is not available if your account is in arrears unless you have entered into a mortgage arrears resolution option with us.  If you are currently availing of an interest rate reduction as part of a mortgage arrears resolution option you are not entitled to apply for the Option. Customers with investment or pension back mortgages cannot avail of the offer.

Customers with a Loan to Value of >90% also cannot avail of the offer, these customers can however avail of our existing suite of 2, 3 and 5 year fixed rates for existing customers.

How much does the valuation cost?

The valuation cost is €126.97 which will be payable by you directly to the valuer and must be paid before the valuer will submit his valuation report to you. 

How long is the valuation valid for?

The valuation shall be valid for a period of four months from the date of the valuation report. New valuations must be provided, customers who have completed in the last number of months who have a valuation or confirmation of valuation dated within last 4 months must still produce a new report.

How does the process work?

On receipt of a valuation report completed by an approved KBC valuer, we will calculate the Loan to Value Percentage applicable to your mortgage account.
 
The amount outstanding on all accounts will be determined on the date the application form and valuation report is assessed by us. The assessment process will typically take at least 10 business days from the receipt of the application form and valuation report.
 
The next steps will apply depending on the new rates selected.
 
Switching to a variable rate
 
  • Once the LTV Percentage has been calculated, the LTV Variable rate applicable for that LTV Percentage at that time will be applied to your mortgage account.
  • Interest is payable in arrears therefore the date from which the new rate will be applied to your mortgage account is dependent on the date in the month on which your LTV percentage is assessed.
  • If it is assessed after the bank’s monthly cut off (typically 20th of each month) the rate will not be applied until the first day of the following month otherwise it will be implemented from the first day of the month in which it was assessed.
 
Switching to a fixed rate
 
  • Once the LTV Percentage has been calculated we will furnish you with quotations over the phone in respect of the fixed rates and on receipt of your instruction to fix the interest rate we will then apply the applicable fixed rate to your mortgage account.
  • Interest is payable in arrears therefore the date from which the new rate will be applied to your mortgage account is dependent on the date in the month on which we receive your instruction to fix the rate.
  • If it is assessed after the bank’s monthly cut off (typically 20th of each month) the rate will not be applied until the first day of the following month otherwise it will be implemented from the first day of the month in which it was assessed.

When does the New Business Rates apply to my mortgage?

We will confirm the date from which the new interest rate is effective and your new monthly repayment amount by letter once the valuation report has been received and the Loan to Value Percentage has been assessed (or in the case of fixed rate once we have received your instruction over the phone to fix the interest rate). 

I have a current account discount on my mortgage already, how will this new rate apply?

The discount will apply to your new interest rate subject to you continuing to comply with the terms and conditions applicable for that discount.

I have split mortgage rates, how will this new rate apply?

Where portions of your mortgage account are on a variable rate and further portions are on a fixed rate, the aggregate amount outstanding in respect of all portions of your mortgage account will be used for the purposes of calculating the LTV Percentage. Unless however you elect to break the existing fixed rate arrangements as set out above the LTV Variable rate applicable to that LTV Percentage will only be applied to the variable rate portions of your mortgage account.  At the end of the existing fixed rate arrangements the then applicable LTV Variable rate for that LTV Percentage will be applied to the portion of the loan that was at the fixed rate.

What if my Loan to Value (LTV) is greater than 90%?

The Offer will not be available to customers who have an LTV greater than 90%. These customers can however avail of our existing suite of 2, 3 and 5 year fixed rates for existing customers.

My mortgage is secured by more than one property, how will the rate mortgage be applied?

If your mortgage is secured on another property or properties in addition to your home, you will need to obtain valuations from a KBC panel valuer in respect of all properties. This will be at your own expense and the valuers will charge per valuation.

Where do I obtain the list of KBC appointed property valuers?

The full list of appointed property valuers can be viewed on KBC.ie here. Customers can contact their chosen local property valuer directly and instruct/pay for the valuation of their property.

I have contacted a KBC appointed property valuer, but I am unable to get an appointment?

In the event that you are experiencing difficulty in obtaining an appointment for a valuer to value the property please select an alternative valuer from your local region.

What happens if my property valuation has expired?

Should the valuation expire upon submission or at the time the application is processed, the customer may be instructed by the Bank to resubmit a new valuation. Should this occur the subsequent valuation will be paid for by the customer.