AMP Bank has revealed that it will offer a digital mortgage solution later this year that will offer “a fully digital mortgage experience capable of providing an unconditional approval for a residential home loan within minutes”, dependant on the customer’s circumstances.
The bank will be leveraging the technology of fintech platform Nano, which already has a digital mortgage under its own brand, but it will be funded and offered by AMP Bank.
The product is expected to launch in Q3 2022 for new retail, direct-to-bank customers initially through an invitation-only release.
This will then be followed by a wider launch to the Australian market.
At this stage, the digital mortgage is expected to be offered to Australian retail customers only, but the bank has said it will harness the learnings and technological advancements to help drive faster ‘time to yes’ across all scenarios and all channels.
AMP Bank said that the move complements its goal to “enhance the lending experience for customers with a focus on digital technology” and become a “technology-enabled digital bank”.
Sean O'Malley, AMP Bank group executive commented: “Customers increasingly need home loan application approvals at pace, to match the fast-moving nature of the real estate market.
“Through our digital mortgage offer, we’ll reduce the time to unconditional approval for a residential home loan from days to hours, and in many cases, minutes.
“A fully digital mortgage offer will enable AMP Bank to better help customers achieve their home ownership aspirations, whether it is a home to live in or an investment property.
“By leveraging Nano’s market-leading platform we are embracing speed to market and the agility afforded by the partnership. It allows AMP Bank to accelerate its focus on growth through digitising customer experiences.
“The development of a digital home loan reflects AMP Bank’s ongoing strategic investments in digital technology to simplify and improve customer and intermediary experience.”
While Nano has its own digital mortgage, it is increasingly partnering with other lenders to help develop its products.
Connective Home Loans (CHL) recently utilised Nano’s technology to offer its own digital home loan, after partnering with Digital Mortgage Solutions (the technology provider to Nano) to offer its broker members a “fully digital home loan”.