By 'reducing its overall cost base' and scaling back its divisions, GMAC hopes to secure a stronger position for the future.
The re-shuffle is designed to concentrate on creating cost efficiencies across its divisions and further utilise its technology platform, POSO.
Simon Knight, chief executive officer of GMAC-RFC, explained: "The market will be smaller, especially in the non-conforming space – that’s a reality. While the majority of our business is in the prime space, we are not immune to the unprecedented volatility in the global credit markets which lenders have been facing. We have to react quickly to change and these moves are designed to put us in a very strong competitive position for next year and beyond.
“It is sadly necessary for us to make redundancies and close one of our businesses. Not an easy decision for any company to make. But we believe these actions will place us in a position of strength to take advantage of the opportunities that will inevitably surface from this market adjustment. Our management team is committed to ensuring that leaving employees are fully supported during this process.
“GMAC-RFC has a strong track record of success. We will continue to be a leader in and be committed to the intermediary mortgage market and build on our strong relationships with business partners, brokers and packagers.
"We will continue to develop on our technology offering and supply of innovative products backed by a best in class service delivery. We look forward to working closely with all of our business partners as the market realigns.”
