Powered by MOMENTUM MEDIA
subscribe to our newsletter

Bank-aggregator loan book hits $36.9bn

A bank-aggregator has said that its post-merger is “going to plan”, with its latest trading update reporting managed loan settlement growth of 53 per cent.

Goldfields Money, which recently merged with mortgage aggregator Finsure, has released its trading results, revealing managed loan settlement growth of 63 per cent ($48 million) in November 2018.

However, the bank-aggregator reported a 3 per cent month-on-month drop in aggregation loan settlements ($1.07 billion).

Goldfields said it was pleased with the results “given tightening of credit conditions” and added that the contraction was “slight” compared to the 11.5 per cent reduction in industry settlements nationally.

Further, Goldfields revealed that its recruitment of new loan writers amounted to a 20 per cent increase, with its total numbers increasing to 1,553 as of 30 November 2018.

Advertisement
Advertisement

Reflecting on the result, Goldfields managing director Simon Lyons said: “The group continued its strong performance in November with a managed loan book reported at $2.5 billion and aggregation book of $34.4 billion.

“Goldfields Money’s banking business also wrote $5 million in settled loans onto its balance sheet, over the month, contributing to a healthy [year-on-year] balance growth of 11 per cent.”

Mr Lyons claimed the group is on track to achieving its post-merger ambitions and said that he expects additional settlement growth in the 2019 financial year.

“Since the completion of the merger in September 2017, 2018, the pipeline of applications continues to be healthy and the post-merger integration is going to plan,” Mr Lyons added.

“We expect to derive more revenue growth opportunities in the second half of the financial year, as we increasingly leverage our broker channel.”

PROMOTED CONTENT


Speaking to Mortgage Business following the completion of the merger, Mr Lyons said that Goldfields was looking to develop its “on-balance sheet” loan book, which he described as “microscopic” in comparison to its “off-balance sheet” aggregation business.

The managing director also stated that the bank also plans to offer “different styles of deposit products” to “reduce the cost of funding”.

Mr Lyons added that Goldfields would continue to focus on “prime lending” to borrowers “across the board”, claiming that the bank doesn’t have the “same limits that other larger banks have had in the past with regards to investor and interest-only loans”.

[Related: Bank-aggregator reveals post-merger plans]

Bank-aggregator loan book hits $36.9bn
Simon Lyons
mortgagebusiness

If you’re feeling overworked and overwhelmed in this fast-paced mortgage market, it’s time to make some changes, and the Business Accelerator Program can help! Work smarter, not harder, in 2022 and beyond, visit the website here to secure your ticket.

Charbel Kadib

Charbel Kadib is the news editor on the mortgages titles at Momentum Media.

Before joining the team in 2017, Charbel completed internships with public relations agency Fifty Acres, and the Department of Communications and the Arts.

You can email Charbel on: This email address is being protected from spambots. You need JavaScript enabled to view it.

Latest News

The government has been told to develop a complaints process for businesses that have been dumped by their banks, following accusations of a...

An Australian fintech has introduced a new self-service VOI product for the mortgages market. ...

With low interest rates and income support expected to soon disappear, the major bank has released a revised dwelling figure. ...

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

Do you think APRA's bank buffer changes will see more borrowers use non-banks?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.