General Electric Consumer Finance (GE) subsidiary Midland & General (M&G) is setting up a new independent broker packager Promise Finance to deal with cases that do not fit the lending criteria of igroup and First National.
igroup and First National are also subsidiaries of GE, and are both originators and servicers of specialist mortgages and secured loans. M&G will continue to introduce business to these two lenders, but Promise will look to place cases outside the group if they do not meet either of the two lenders’ lending requirements.
M&G is closing its packager division Purple3 and most of its staff will transfer to the new venture, however M&G plans to continue to trade under the Purple brand. All staff have been advised and consulted on the changes.
Promise will be led by Steve Walker, currently general manger at M&G, who said: ‘I do not underestimate the challenges facing us because I have too much respect for our competitors and the dynamic forces that make our market what it is.’Colin Sanders, chief executive of igroup, said’Steve has been a fantastic leader at M&G. He has ensured the business remains in the front rank of its sector and is the right man to take Promise forward.’
Final details as to the launch of the company have yet to be finalised.