European digital bank bunq will become the first European digital bank to start offering mortgages to its customers.
The Dutch challenger bank has claimed that it intends to roll out the mortgage service in early 2022.
The mortgages will be initially available in the Netherlands, with approximately two-thirds of bunq’s home loans on its balance sheet to be covered by the Dutch government’s insurance scheme, which currently guarantees homes up to €355k in the possibility of borrower defaults.
bunq CEO and founder Ali Niknam said, “At bunq we are constantly innovating and evolving to serve our users. Becoming the first digital bank in Europe to offer our users mortgages is an incredibly exciting development for everyone at bunq”.
Tulp Group co-founder and CCO Paul Wessels added, “Tulp is excited to support bunq to become a successful new lender in the Dutch market. This partnership is a great opportunity for the further positioning of our existing Dutch lending platform.”
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