Chill Money eyes en­ter­ing mort­gage mar­ket after launch­ing credit card

Sunday Independent (Ireland) - Business & Appointments - - FRONT PAGE - Sa­man­tha Mc­caugh­ren

CHILL Money, the lend­ing busi­ness of Chill In­sur­ance, has launched a credit card and is con­sid­er­ing en­ter­ing the mort­gage mar­ket within the next 12 months.

Chill In­sur­ance, whose ads fea­ture Jen­nifer Zam­par­elli, launched its per­sonal loan busi­ness in Fe­bru­ary with the prom­ise of a quick and easy ap­pli­ca­tion process. It has re­ceived more than 15,000 in­quiries to date.

Fer­gal Lynch, gen­eral man­ager of Chill Money, said it hoped to write busi­ness to­talling €80m this year, with an av­er­age amount of €11,500 be­ing lent.

In keep­ing with the prom­ise of a quick de­ci­sion on per­sonal loans, the credit card will be ap­proved “within min­utes” and a card de­liv­ered within five work­ing days.

Lynch said: “We’ve had a phe­nom­e­nal re­sponse. What we were try­ing to do from the out­set, much like we did with the in­sur­ance in­dus­try, is be­com­ing a dis­rup­tor. Like any in­dus­try, tech­nol­ogy is chang­ing the way we do busi­ness.”

The credit card is be­ing of­fered in part­ner­ship with Avant Card, which took over the MBNA busi­ness.

“The credit card in­dus­try has been a sleep­ing bear,” he said. “For peo­ple un­der 30, a credit card is kind of alien to them. They are us­ing debit cards, so we saw an op­por­tu­nity of a non-bank of­fer­ing of a credit card and there are ben­e­fits to hav­ing a credit card.”

The rate is 16.8pc and APR of 22.9pc, which Lynch de­scribed as “com­pet­i­tive, not the most com­pet­i­tive” in the mar­ket. How­ever, there is a 0pc trans­fer rate for nine months.

In terms of other prod­ucts, Lynch said: “Mort­gages would be on the radar. As we see it, it’s any­thing we can sim­plify and make the process bet­ter for the cus­tomers.

“Most def­i­nitely we have other prod­uct ver­ti­cals in mind,” he added. “We’d have it in our minds that within the next 12 months that we would be in­tro­duc­ing other prod­ucts.”

Lynch said Chill was look­ing at po­ten­tial part­ners for new prod­ucts.

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