An Post's financial services subsidiary, One Direct, has reached an agreement with Bank of Ireland's ICS building society, to sell its mortgage products.
Under the new deal, One Direct will offer mortgages for first-time buyers, investors, individuals trading up and for group schemes. Mortgages will be approved in principle over the phone and One Direct will produce a guide to simplify the process for its customers.
ICS is one of the biggest mortgage providers in the Republic, claiming to have 26.5 per cent of the market.
Announcing the broadening of its range of services yesterday, One Direct managing director, Mr Tim McCarthy, said its entry into the mortgage market was further evidence of its ongoing development.
"In conjunction with ICS we are now in a position to roll out a highly accessible competitive mortgage offering to existing and potential customers," he said.
One Direct was established in 1999 and currently sells general insurance, life assurance and personal finance products. It is based in Athlone, Co Westmeath and employs 110 people.
An Post customers who are first-time buyers will be able to apply for mortgages of up to 92 per cent of the value of the property. The ICS is currently offering a variable rate of interest on mortgages of 3.5 per cent.
It is offering a special discounted variable mortgage rate to group scheme members. One Direct provides services to the Garda Síochána Retired Members Association, SIPTU, the TEEU, the Royal Dublin Society and NUI Galway.
