Major banking announcement with Macquarie halting new car loans

A major Australian bank has announced that they will no longer be doing new car loans.

According to Reuters, Macquarie Group have stated that new car loans will no longer be available via brokers, novated leases, or direct paths.

Instead, their unit for financial and banking services will focus on deposit offerings and more home loans.

The group are keen to work more on what they termed “digital experiences”.

The announcement was made on Monday the twenty-second of April, this year.

A figure of 15.5%, or $12.33 billion, was supplied by the Banking and Financial Services Group to the total operating income that Macquarie made last year – which was $19.12 billion.

A press release from the conglomerate featured a quote from the Head of Personal Banking at Macquarie, Ben Perham.

“This decision will enable us to further prioritise the growth of our home loan and deposit offerings,” said Mr Perham.

“Our leading digital experiences for those products are built on best-in-class technology platforms and we see significant opportunity to continue investing in them to attract more customers to Macquarie.”

According to the conglomerate’s Banking and Financial Services Group, current customers are not to be affected by the ending of the particular service.

However, novated leasing channels, direct channels, and brokers must have settled any car loan applications before the seventeenth of May, five pm (AEST), rolls around.

This will only be for direct channel applications that were submitted by the time the twenty-second of April arrived, and novated leasing channel and broker applications that had been submitted by the twenty-fourth of April – with the time noted as five pm (AEST).

They also stated that all current novated leases and car loans are to be serviced until they are finished.