Newcastle Building Society is growing its outsourcing operations, and has won a processing contract with non-conforming lender High Street Home Loans (HSHL).
The deal will see Newcastle BS doing mortgage processing, packaging and underwriting for HSHL, which was recently acquired by lender GMAC RFC.
Colin Greaves, general manager for Newcastle BS, said: ‘Investment in technology and a commitment to innovation has put us in a very strong position to offer a range of services including mortgage processing, online banking, call centres, mortgage broking, and product development to the wider financial services market. We recently launched Newcastle Strategic Solutions Limited (NSSL) as a wholly-owned subsidiary company to do just this. Signing processing deals such as this one shows the enormous growth potential of NSSL.’
Newcastle BS hopes to process around £150m of mortgage balances in the first year of the contract.
In another deal, Newcastle BS has also signed with Solent Mortgage Services (SMS) to do processing work for the lender. Both deals will see Newcastle gain access to the two mortgage lenders’ products. Angus Macnaughton, corporate development executive for Newcastle BS, said: ‘The combination of market-leading products from both SMS and HSHL, together with the high-quality processing skills at Newcastle BS will provide a strong offering to our intermediary network whose customers may have difficulty securing a mortgage in the high street.’