Business Irish

Tuesday 11 December 2018

KBC tracker customers 'now on correct interest rate' - bank confirms

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Ellie Donnelly

Ellie Donnelly

KBC Bank has confirmed that all of its customers which were affected by the tracker mortgage scandal are now on the correct interest rate.

In its annual results statement today, the bank went on to say that compensation and redress will be paid to all customers impacted by the scandal by the end of June.

As recently as this month the bank admitted that almost 2,500 customers were still being overcharged on their mortgages.

Apologising for the scandal, Wim Verbraeken, Chief Executive of KBC Bank Ireland, said that he wanted to “assure customers that they remain the highest priority for KBC into 2018.”

Meanwhile, new mortgage lending at the bank increased 45pc last year to €888m, while the bank’s completions for the year exceeded full year completions for 2016 by 45pc.

Overall the bank reported net profit of €183m for the year 2017 (after tax and impairment). The group’s operating profit in Ireland (before tax and impairment) was €112m, while the number of impaired loans stock at the bank reduced by a quarter to €4.2bn in 2017.

“I am pleased to report that 2017 has been a milestone year for KBC Bank Ireland,” Mr Verbraeken said.

“In our first year as a core market of KBC Group, we have delivered a strong financial performance and appealed to a growing customer base that now surpasses the 262,000 mark.”

Over 75,000 new accounts were added by the bank in 2017, driven by new product and digital innovation including a new mobile app for current account openings, the bank said.

Meanwhile the bank also increased its retail presence in Ireland, with the opening of its store in Blanchardstown, bringing its total number of stores in Ireland to 16.

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