Avant Money has become a fully licensed bank, integrating with Bankinter Group as a strategic response to market changes in Ireland. This transformation, facilitated by cross-border regulatory approvals, marks an expansion into new banking services, including deposit accounts alongside loans, mortgages, and credit cards. With a 7% mortgage market share, Avant Money’s partnership with Bankinter promises increased consumer choice and competition following exits by Ulster Bank and KBC. Further details reveal more about this strategic collaboration.
Key Takeaways
- Avant Money is now a fully licensed bank under the Bankinter Group.
- The integration was facilitated by a successful passporting process with European financial authorities.
- Avant Money now operates as a branch of Bankinter, offering new banking services.
- The move enhances competition following Ulster Bank and KBC’s market exit.
- Avant Money aims to leverage Bankinter’s infrastructure for comprehensive banking services.
In a significant development for the Irish banking sector, Avant Money has shifted to a fully licensed bank under the auspices of the Spanish-owned Bankinter Group. This transformation, facilitated by a successful passporting process involving the Bank of Spain, European Central Bank, and Central Bank of Ireland, marks Avant Money’s changeover to becoming a branch of the established Bankinter Group.
The move is expected to introduce a suite of new banking services, particularly beginning with deposit accounts, in addition to its current offerings such as loans, credit cards, and mortgages. The integration into Bankinter is poised to deliver substantial customer benefits and spur banking innovation within the Irish financial landscape.
As Avant Money expands its service offerings, customers are likely to enjoy a broader array of competitive banking products. The increased competition in the sector is particularly timely, given the recent exit of Ulster Bank and KBC, which heightened concerns about limited consumer choice.
Avant Money’s loan book has shown remarkable growth, escalating from €379 million in 2018 to over €3.9 billion, securing approximately 7% of the mortgage market share. This growth underscores the institution’s potential to further enhance market competition and provide Irish consumers with more options and competitive rates.
Remarkable growth sees Avant Money’s loan book soar, capturing 7% of the mortgage market share.
The commitment to innovation is evident as Avant Money seeks to leverage Bankinter’s robust banking infrastructure to roll out full-service banking capabilities. Statements from leadership reflect an optimistic outlook for the future.
Niall Corbett, CEO of Avant Money, emphasizes the importance of consumer choice and delivering value. Similarly, Alfonso Saez, CEO of Bankinter Consumer Finance, reiterates a dedication to fostering competition and innovation. The integration also receives governmental support, with Ireland’s Minister for Finance, Paschal Donohoe, endorsing it as a positive stride for the banking sector.
Future developments include plans to expand into new product categories, reinforcing Avant Money’s foundation in the Irish market. The focus on customer service and competitive offerings is expected to continue, underscoring Avant Money’s and Bankinter’s shared vision of driving forward banking innovation.
This changeover signifies a pivotal moment in the evolution of Ireland’s banking landscape, promising enhanced services and choices for consumers.
Conclusion
Avant Money’s integration with Bankinter marks a significant shift in the Irish banking landscape, promising enhanced competition and consumer choice. Despite potential concerns about market saturation, this move addresses the void left by Ulster Bank and KBC’s exits, potentially stabilizing the sector. The expansion into deposit accounts signifies Avant Money’s strategic growth, leveraging its robust loan book. As a fully licensed branch of Bankinter, Avant Money is well-positioned to offer competitive rates, benefiting Irish consumers and invigorating the market.
