Government-owned trustee company the Public Trust Office has joined hands with two other organisations to sell mortgages and home and contents insurance.
Government-owned trustee company the Public Trust Office has joined hands with two other organisations to sell mortgages and home and contents insurance..
As part of its push to become a full blown financial services company the Public Trust Office has formed strategic partnerships with Sovereign and New Zealand Insurance (NZI) to distribute mortgages and insurance products..
The office will trial the sales of these products through six branches during November, and then look to extending sales to all 50 of its branches nationwide.
In return for distributing other companies’ products the Public Trust Office will earn commissions which are expected to generate "quite substantial" revenue for the office, general manager retail Russell Gray says..
The deal allows the two product providers access to the Public Trust Office’s client base of 300,000 people.
Gray said the office would receive a one-off origination fee or commission, based on the size of the loan, if its customers took a Sovereign mortgage..
The Public Trust Office would process and approve the loan and provide information to the mortgagee of they needed it at any time later..
NZI would pay the Public Trust Office commissions on any home, contents and motor vehicle insurance it sold to its customers, also it would receive a commission on the annual renewal premiums.
This strategic alliance comes at a time when the Government is considering selling the Public Trust Office.
Government-owned trustee company the Public Trust Office has joined hands with two other organisations to sell mortgages and home and contents insurance..