Bankers shaking hands

Challenger bank snaps up £60m mortgage portfolio




OneSavings Bank has announced it has completed the purchase of a first charge residential mortgage portfolio.

The challenger bank completed the purchase of the portfolio worth around £60m on October 31st.

The mortgages are predominately owner-occupied and well diversified across the UK.

The news comes as OneSavings Bank issued a trading update to investors, which showed that the strong financial and operational performances were in line with management expectations.

Other highlights the bank revealed were that its underlying loan book had grown by 13%, while net loans and advances grew by £466m to £5.6bn during for the nine months to September.

OneSavings Bank also revealed it had drawn £626m to date under the Funding for Lending Scheme and intended to commence drawing from the new Term Funding Scheme in the fourth quarter.

Andy Golding, CEO of OneSavings Bank, said he was extremely pleased with the performance of the business this year.

“Application levels for the second half to date are significantly in excess of the first half and our pipeline of new business is at a record level.

“This means we remain confident of achieving our net loan book growth target for this year and double-digit growth into 2017."

Last year, OneSavings Bank revealed its underlying profit before tax increased 60% to £47.6m.

OneSavings Bank also announced that Mike Fairey was to resign as chairman of the challenger bank. 

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