Gateway opened as credit union drive continues

by Adam Smith13 Dec 2011

Mortgage Choice has stated the addition of Gateway Credit Union to its line-up of lenders will meet a niche customer demand without “over-burdening” its panel.

The company announced it will add Gateway to its panel, bringing the number of lenders on the panel to 26. Company spokesperson Belinda Williamson said, though the company’s panel is expansive, its lenders are vetted for a “point of difference” to reduce duplication.

“When considering whether a new lender is suitable for the Mortgage Choice panel, key aspects that we thoroughly research are its reputation, quality of products and service plus how well it fits in with our systems and processes," Williamson told Australian BrokerNews

"Each lender’s offering must add value to our customer service proposition and strengthen our standing within the mortgage market," she said.

Williamson added customers are now increasingly seeking credit unions because they are accountable to their members, leading to lower priced products and "superior" service.

Credit union products are now en vogue in much of the mortgage broking industry. Aggregators PLAN, Choice and Connective have all struck deals with Phoenix Mortgage Management to add mutuals to their panels, and Heritage is ramping up its broker distribution.

Williamson said Mortgage Choice was anticipating customer demand for credit union products to increase as media coverage heightened awareness of mutuals. She said the timing of Gateway’s addition would allow demand to ramp up gradually and give the credit union time to adjust.

“By adding Gateway to our panel at this time of year - typically a slower period as we head into the New Year - we expect a gradual build up of volume to come. Gateway is geared to meet the levels of demand we anticipate,” she said.

Gateway chief executive Paul Thomas hailed the move as the “next step in the evolution” of the company’s strategy to bring its products to “a wider audience”.

Related stories:

PLAN expands mutual panel

Connective deal vote of credit union confidence

Choice adds credit union products