Ontario credit union to open digital banking arm

Ontario credit union to open digital banking arm

Ontario credit union to open digital banking arm

Ontario-based credit union Meridian has received authorization from the Office of the Superintendent of Financial Institutions to open its digital arm Motusbank this spring.

Merdian assured that the digital entity will provide its users the opportunity to “benefit from better pricing and services because there are no shareholders expecting quarterly returns”.

The announcement added that among others, the bank will offer mortgages, loans, and lines of credit, BankingTech.com reported.

“Motusbank will treat members as true partners, offering an exceptional digital experience, along with some of the most competitive rates and fees in the country,” Meridian CEO William Maurin said.

Maurin previously stated that he would like the digital arm to take on the Big Five.

Read more: Will digital mortgage apps steal brokers’ market share?

Canada’s environment of early adoption of tech solutions for financial services has placed it in an ideal spot to become a global leader in fintech/proptech innovations, Toronto-based financial services lawyer Stephen Redican of Borden Ladner Gervais LLP wrote recently.

Among the most who would benefit from this are domestic institutions, Redican predicted. This is especially pertinent since historically, Canadian financial organizations have moulded their processes to accommodate new technologies almost as soon as these tools became available.

 

1 Comments
  • Victor Simone 2019-02-12 6:37:09 AM
    Another attempt from a Financial Institution to eliminate the middleman brokers or staff. How many failed attempts must the big wigs study before they come to a simple conclusion--people sell.

    Whether it's to provide simple service to a question or advise for a product, it's something that is needed to close many financial products.

    The mortgage market does have clients that we can term as "do it yourselfers" and I see them all the time.......thing is..........they still need to speak to a live person at some point(s) in the process. If a computer could close a sale, we would have been replaced a long time ago.

    Surely Meridian will have people behind the technology ? For their sake.
    Post a reply