€4.5m fine in tracker mortgages probe
It is the first fine the regulator has imposed as it continues to investigate most lenders which sold tracker home loans here. The results of the full probe will not be known for some time.
However, based on the Springboard case, the fines on other mortgage lenders may likely be substantial.
The Springboard case involves 220 mortgage accounts and has been imposed for breaches under the Central Bank’s Consumer Protection Codes.
The code was updated four years ago to give the Central Bank more powers to levy swingeing fines.
The investigation into Permanent TSB involves a further 1,152 customers.
Some other banks involved in the Central Bank investigation have put aside tens of millions of euro to cover potential fines and restitution costs.
Other lenders involved in the investigation include AIB, Ulster Bank, Bank of Ireland, and KBC Bank.
