Originally Posted by
SparkyTheClown
Yeah but Percy would be right.
Heartland are not heavily chasing the mortgage funding of villas in Mt Eden and Westmere in Auckland, or first home buyers in suburbia.
They have three distinct channels:
1. Consumer funding like white labelling new car finance
2. Agricultural funding like working capital, machinery and plant, livestock finance
3. Small business finance liker invoicing finance, and working capital, asset finance
On top of that, there is insurance, and yes, the ability to offer mortgages on new homes.
They offer it because all banks offer it, but they don't focus on it. My own homework has shown they have a symbiotic relationship with the big banks like ASB and ANZ, where the big boys loan on the land, and Heartland work with the borrower and big bank to provide the funding for the machinery, plant and stock.