RAMS could join online discount flock

by Adam Smith08 Nov 2011

RAMS could challenge NAB's UBank in offering discounted mortgages online, it has been reported.

According to the Australian Financial Review, the Westpac subsidiary will launch onlline deposits early next year to compete with the high-interest offerings of ING Direct, RaboDirect and UBank. St. George chief executive Rob Chapman indicated that the brand could eventually roll out discounted mortgages on its online platform.

"It will be so flexible that we will be able to tweak it to fit our strategy," Chapman told the AFR.

The RAMS deposit product has been trialled among Westpac staff, and Chapman indicated the company's strategy would be to become the primary financial institution for customers.

"We want our customers to have their transaction accounts with us and conduct their everyday banking through us. We know if they do that they tend to think of us as their main financial institution; therefore, we are considered next time they want a product or service," Chapman told the AFR.

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