Bank wants to change the terms of the agreement
I was employed at a major bank where I applied for a home loan at a favourable interest rate afforded to employees. It was prime less 2.5% instead of prime less 1.25% for the general public. I signed a credit agreement to that effect.
I have since left their employment, and they have written to me to agree to change the terms of the agreement to that afforded the general public. Of course a deal is a deal, so I have resisted. Nowhere in the agreement does it state that if I leave their employment the benefits of the staff housing scheme lapses. Neither did my employment agreement. It only appears in the pre-agreement quote which is not part of the final agreement. Please advise, as I am being pressurized by the bank.
As you rightly mention a deal is a deal, and you should resist any attempt to change the terms. They will claim that they made a mistake, but major banks retain the services of several lawyers and would have gone through several such situations. It is why they have not unilaterally changed the rates but want you to agree to the change. Courts will first look at the face of the contract and interpret it as it is. If there are ambiguities then they will look at other evidence. If the bank wants to go to court and you don’t want to go the litigation route you can extract some concessions before reaching an amicable settlement.