It was one of the first sub-3% rates in the country
Heartland Bank is considering relaunching its 2.95% digital mortgage following its previous success.
In March, Heartland launched a digital 2.95% home loan that garnered the interest of many customers. As a result, the loan book hit the bank's $50 million cap within only a month before the COVID-19 pandemic impacted the industry.
Chris Flood, the chief executive of Heartland, said the online offering “surpassed expectations,” and they “learned some interesting lessons” during its first launch. Now, the bank is considering relaunching the offering once the lending market settles down.
“We're still attracted to the proposition, and when the time's right, you'll see Heartland back in that market. It will still be very much as it was in the trial parameters, focused on the main centres,” Flood told TMM Online.
Read more: Heartland gains living wage accreditation
Flood said Heartland could challenge other banks once again once the 2.95% digital home loan comes back to the market as it was one of the first sub-3% rates in the country.
“The key for us is giving the market time. Once the market has settled, we will have a look at whether to do it again,” he said.
“We want to see where the market bottoms out. The opportunity isn't there for us at the minute, as the banks might be able to easily match us.”
