T293 Questions and Answers

We are writing to you because we made an error when you asked us for a COVID-19 Payment Break (this is explained below). We have fixed this error and have refunded the additional amount you would have been charged over the remaining term of the loan due to the error.

A COVID-19 Payment Break was available to our customers who were impacted by COVID-19.

When we re-calculated your repayments, we excluded one to three days’ interest in error. As a result your loan repayment is lower than it should be. This results in a slightly higher cost of credit over the life of your loan. This means the amount owed will be higher than it should have been and the cost of credit outlined in the letter we sent you when the amendment was made is not correct. Cost of credit is the total amount repayable less the amount of the loan.

The exclusion of one to three days’ interest from your loan repayments, results in a higher cost of credit over the life of your loan. This means the amount owed is higher than it should have been.

To correct this, if your account is open, we have refunded the loan account with the additional amount you would have been charged over the remaining term of the loan due to the error. This refund cannot be withdrawn.

 

If your loan account is closed we have refunded an alternative AIB account or sent a cheque to you.

In that case, if the loan account is open we have refunded the loan account. Where the loan account is closed and there is no alternative joint AIB account, we sent a cheque to everyone named on the loan. The refunded amount is divided equally among those named.

If the account is closed, a Payment Instruction Form has been sent to Trustee Loan account holders. It must be completed and returned to us. Once returned we will process the refund as instructed.

Customers impacted by T293 have not had their ICB(Irish Credit Bureau) or CCR(Central Credit Register) record impacted.

Yes, we have told the Central Bank of Ireland. We have kept them up to date about everything we are doing to put this right for our customers.