Typically sold in conjunction with a bank business loan, interest rate swaps are designed to protect a business against fluctuating interest rates, preventing the cost of a loan from spiraling out of control.
Claiming for mis-sold interest rate swaps in Ireland
Many small and medium sized businesses therefore decide to buy the product, believing it to be in their business’ best interests.
However, interest rate swaps can be incredibly complex, and large numbers of businesses have since found intricate clauses contained within the contract that actually increases the risks involved. Indeed, some were not told the cost of payments would soar if interest rates fell to rock bottom – as happens during a financial crisis. This has resulted in devastating financial implications for the businesses concerned. Others agreed to an interest rate swap under duress after being told their loan would not be secured unless a hedging product was bought.
If either of these situations has happened to you, you will of course be feeling extremely anxious about your financial well-being, not to mention the future of your business. But all may not be lost, as you may well have been the victim of mis-sold interest rate swaps. This is because organizations selling hedging products have a duty of care to their customers. They must explain the effects of the product and the potential risks involved. Furthermore, they are not allowed to use pressure-selling tactics.
If there is failure to meet this duty of care because the agreement and its liabilities were misrepresented, you will be able to make a claim for a mis-sold interest rate swap. This will ensure your monies are reimbursed and the losses you incurred as a consequence of the mis-sold product are recovered.
Source: http://gibsonandassociates.ie/business-services/interest-rate-swaps/
Claiming for mis-sold interest rate swaps in Ireland
Many small and medium sized businesses therefore decide to buy the product, believing it to be in their business’ best interests.
However, interest rate swaps can be incredibly complex, and large numbers of businesses have since found intricate clauses contained within the contract that actually increases the risks involved. Indeed, some were not told the cost of payments would soar if interest rates fell to rock bottom – as happens during a financial crisis. This has resulted in devastating financial implications for the businesses concerned. Others agreed to an interest rate swap under duress after being told their loan would not be secured unless a hedging product was bought.
If either of these situations has happened to you, you will of course be feeling extremely anxious about your financial well-being, not to mention the future of your business. But all may not be lost, as you may well have been the victim of mis-sold interest rate swaps. This is because organizations selling hedging products have a duty of care to their customers. They must explain the effects of the product and the potential risks involved. Furthermore, they are not allowed to use pressure-selling tactics.
If there is failure to meet this duty of care because the agreement and its liabilities were misrepresented, you will be able to make a claim for a mis-sold interest rate swap. This will ensure your monies are reimbursed and the losses you incurred as a consequence of the mis-sold product are recovered.
Source: http://gibsonandassociates.ie/business-services/interest-rate-swaps/
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