According to the managing director of a non-major, “It’s a good time to be a small bank in Australia.”
BNK Bank MD Simon Lyons explained, “The surprise federal election win by the coalition is likely to ensure that the mortgage broking and aggregation market remains strong.
“This certainly helps smaller banks like us to compete with the larger banks in this country, offering real choice for consumers.”
BNK Bank just reported surpassing the $200m milestone on balance sheet loans, after last week’s release showing strong third quarter growth in its banking and mortgage aggregation businesses despite the current state of the housing and lending markets.
“Year to date settlements of $51m have already surpassed last year’s settlements of $46m,” said Lyons.
“We still have six weeks to go in the financial year and the application pipeline is very healthy. We expect this will carry through for a strong start to the new financial year.”
A large portion of BNK’s success has been attributed to its merger last year with leading aggregator Finsure Group.
Lyons explained, “One of the benefits of working with brokers nationally is we have been able to improve our portfolio geographic diversification, with many loan settlements outside of Western Australia.
“With the initial focus on merger integration now largely complete and Finsure loan writers at record numbers, BNK is well positioned to continue building market share as one of Australia’s newest challenger banks,” he concluded.
