ACCC challenges NAB’s mortgage move
The Australian Competition and Consumer Commission (ACCC) may challenge the National Australia Bank’s (NAB) proposed $385 move on Challenger’s mortgage business, according to reports in The Age newspaper.
NAB last month outlined plans to acquire Challenger’s home lending business, in a deal that would secure the bank’s position as a key player among the nation’s mortgage brokers.
The plan will come under close scrutiny by the ACCC, according to the reports, amid concern over reduced competition in the sector.
The Age reports that the ACCC is asking market players whether the move will see NAB increase its share of the home lending market.
The ACCC is expected to finalise its view on the deal early next month.
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The NAB acquisition of Challenger has only a fraction of the impact of other grabs by the big four in the past year. Westpac bought St George and RAMS then CBA acquired BankWest and Aussie and the ACCC hardly blinked. I don\’t see them changing the pattern at this point.
This is a good deal for the NAB and has benefits to Challenger as well. It\’s not good for the consumers though.