Newcastle Building Society has signed deals with both Manchester Building Society (MBS) and the Hinckley & Rugby Building Society (HRBS), to provide third party services from its subsidiary, Newcastle Strategic Solutions Limited (NSSL).
Under the deal, a mortgage broking service will be established for HRBS, allowing it to provide a service for clients it has previously been unable to lend to.
Martyn Shortland, mortgage services manager at HRBS, said: ‘It would not have been practical for us to develop this service on our own, which is why we went to NSSL, as it has the systems and experience already in place.’
Colin Greaves, managing director of NSSL, said: ‘It makes sense for building societies to find new ways of helping customers ‘ in simple terms HRBS places the leads and we find the best deals by offering the full broking service.’
NSSL was established by Newcastle to provide consultancy, third party administration, call centre capability, product design and broking services to partners.
The agreement signed with MBS sees NSSL design an account linked to the FTSE 100 Index for the building society. Greaves added: ‘The Newcastle has considerable experience in designing products and it is this experience we are now able to offer to third parties.’