Australian challenger bank 86 400 has come a step closer to launching a home loan product after securing a national distribution deal with mortgage broker aggregator Vow Financial
The deal means 86 400 can deliver home loans via Vow Financial’s network of over 1200 brokers once it secures its full banking license from the Australian Prudential Regulation Authority.
The bank has already inked deals with mortgage application software providers Simpology and Loanworks to help build its platform.
Robert Bell, CEO, 86 400, says: “We didn’t set out to create a standard home loan product — we are building an entirely new approach to the home loan process that will make life easier for brokers and deliver better value to customers.”
Led by former ANZ Japan CEO Bell with UK neobank veteran Anthony Thomson and one-time Cuscal CIO Brian Parker, 86 400 is one of several startups getting ready to challenge the dominance of the Australia’s Big Four banks with a tech-led approach.
The firm is building its own propriety software and has a hefty bank balance thanks to funding from payments provider Cuscal.