Partner Article

Virgin Money acquires £465m of Northern Rock mortgages

Virgin Money has agreed to acquire £465m of Northern Rock mortgage assets from UK Asset Resolution.

The transfer date is expected to be towards the end of the year, and until then, loans will continue to be managed by NRAM.

The transaction enables Virgin Money to deploy some its excess liquidity to grow its mortgage book with high quality loans that complement the existing book.

Jayne-Anne Gadhia, Chief Executive of Virgin Money said: “I am delighted to be able to welcome this new group of customers to Virgin Money and we will be making every effort to make the transition simple and straightforward for them.

“This is an excellent acquisition for us. It is sensible deployment of some of our excess liquidity and allows us to grow our mortgage book with high quality mortgages.

“UKAR has confirmed that it intends to use the proceeds of the acquisition to further repay their government loan, in the best interests of taxpayers, and so this transaction offers a great example of our philosophy of making everyone better off.”

This was posted in Bdaily's Members' News section by Tom Keighley .