Mr. Tony Lawlor:

My understanding is that the bank could charge me a certain amount on top of the ECB variable rate but the amount it could charge me was capped. In the agreement or businesses record, that amount was capped at 1.1% above the ECB rate. When my discounted period ended one year after I had drawn down the mortgage, it increased that to 1.6%. The mortgage was unproblematic to me at a rate of 1.6%. However, the agreement was for 1.1% above the ECB rate.

In monetary terms, that represented an additional €1,100 per annum for the bank. In 2010, that 1.6% margin, which had applied for the previous six years, was suddenly gone, nowhere to be seen.

At the moment, the banks are charging me 4.34% above the ECB rate, which to me is a very high rate. It might not be very high for bankers, given the type of remuneration they earn, but to me the significance of that was soul-destroying. It destroyed every aspect of my life. My personal retirement savings account suffered, as did my VHI contributions and my family. All my other commitments and little things I used to pay for, such as Sky television - I am a big sports fan - had to go to accommodate all this.