by Paul McBeth
A home mortgage branded with the name of your local estate agent, insurance broker or sports team?
That's the thrust of a new product being offered through Financial Marketing Services. Using a wholesale funded structure set up in association with one of the trading banks, Financial Marketing Services says it's created "the opportunity for leading service suppliers to market individually branded home loans to their customer base".
It's a concept already in action across the Tasman, where the likes of The Bulldogs of Aussie Rugby League fame have taken advantage of something similar.
Financial Marketing Services says it lets organisations offer a value-added service to customers, but says they don't incur the high costs associated with setting up a dedicated mortgage fund to provide the finance. The product is pitched at groups such as insurance brokers, solicitors, mortgage brokers, residential real estate developers and markets, sports clubs and cultural bodies.
The company has started out its marketing efforts in the greater Auckland area and so far it's signed up three branding clients (which can't yet be named). It's also in the legal documentation phase with a further four clients and is negotiating with another six.
Financial Marketing Services says the mortgage product can be applied to new purchases or refinancing existing home loans and there is no financial recourse to the mortgage brander during the life of the loan.