Post Office ups its bid to become top ten mortgage lender

Friday 10th August 2012

The Post Office started selling its own-brand mortgages in its branches yesterday, saying that it wants to offer an alternative to high street lenders.

The organisation, still best known for selling stamps, has ambitions to be a top ten lender.

It has introduced mortgage specialists into post offices in Birmingham, Solihull, Walsall, Luton and Norwich, and will roll out the offering to others of its 11,500 branches over the next year.

The Post Office says customers will be helped to make an informed decision about the suitability of the products, but that no regulated advice will be given.

New mortgage software will enable customers in its branches to see online how much they could borrow, product features and repayments. They can submit a mortgage application and be provided with an approval in principle.
 
The Post Office will also continue to offer mortgages online and via telephone, after launching the service three years ago.

Post Office head of mortgages Mike Cook said the latest move is part of a growth strategy, and followed customer feedback showing borrowers wanted face-to-face contact before taking out a mortgage.

He said: “We are one of the fastest growing financial services providers in the UK and we are constantly looking at ways to offer new services to our customers.

“By introducing mortgage specialists in our branches, we are taking the next step in fulfilling our ambition to become one of the best providers in the market place and to be a genuine alternative to the established high street providers.”