Moneyway, the motor finance arm of Secure Trust Bank, has begun piloting its prime offering with six motor finance brokers.
The lender first revealed plans to expand into the prime space towards the end of 2014. The company recorded revenues of £27.2m in 2014, up 61% from 2012.
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John Simpson, managing director at Moneyway, said he thought the move would result in the lender capturing more subprime customers, as well as new prime customers. He said: "This is more than just an opportunity to break into a competitive market, as we’re confident that the success of the prime product will result in more customers being served by our near and non-prime products.
"We’ve had a good start to the year, and with the new product already being received positively by the market, we’re expecting this momentum to continue for the remainder of 2015."
One of the six brokers on the pilot is Carfinance247. Louis Rix, director at Carfinance247, said: "Thanks largely to growing consumer confidence, rising employment, low inflation and changes in consumer buying behaviour, the online prime space is a massive growth area. It used to be the case that 90 per cent of our customer base was sub-prime, but we’re seeing this evolve to reflect the strong economic conditions, with over 50 per cent of business transacted now in the prime sector."
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