MAKING CENTS: Benefits outweigh the hassle in a mortgage switch

Mortgage switching seems to be a key priority for Irish providers, with sweeteners such as cashback when you switch on offer from all the main providers. But is the reality of switching different to the impression sold in advertising?

I was recently contacted by a mortgage-holder who has been annoyed by recent ads from their bank promoting their options for existing customers. They felt the bank suggests the process is far more straightforward than is actually the case. This customer is far from alone in feeling like this.

The Competition & Consumer Protection Commission (CCPC) recently published a Mortgages Options Paper, aimed at helping to develop a better-functioning mortgage market. Switching was one of the key areas of research. Research found just 6% of mortgage holders have considered switching their mortgage provider over the past 5 years and only 2% have actually switched.