Founder Marcus Morrison explains pricing, parameters, and adviser-first distribution
Non-bank lender MB Private, which launched in mid-September with a $150 million funding commitment from Westpac New Zealand, has set out how it plans to win business from New Zealand mortgage advisers. Its pitch rests on pricing close to the major banks, flexible credit assessment, and a distribution model that rules out dealing directly with borrowers.
"We are bringing the common sense back to lending," founder Marcus Morrison (pictured) told NZ Adviser.
Who the lender is built for
MB Private is aimed at property investors, from first-time mum-and-dad investors to commercial investors with multiple holdings. It is also pitched at borrowers who narrowly miss bank criteria for reasons including their age, business ownership, or already being heavily exposed to their bank.
The lender can assess most borrower profiles on their merits rather than against a rigid checklist, according to Morrison, and has no plans for now to prioritise any single group.
The core product runs to an 80% loan-to-value ratio (LVR), the loan amount as a share of the property's value, and can stretch to 85% in some cases. Maximum loan size is $3 million.
For now, lending is focused on New Zealand's main residential centres, and development and construction finance are not yet offered.
MB Private is starting with lending that falls outside the Credit Contracts and Consumer Finance Act (CCCFA). CCCFA-regulated products are due shortly.
Why advisers sit at the centre
Borrowers will reach MB Private only through advisers, via its aggregator partners. Morrison said this keeps the experience consistent for advisers and their clients.
Non-bank lending is still unfamiliar territory for many New Zealanders, he said, which makes independent advice important. Borrowers weighing a non-bank option want reassurance that the deal is competitive and that they will be looked after, and advisers are placed to give it.
Non-banks hold roughly 1.5% to 2% of New Zealand's lending market, against 12% to 15% in Australia, according to figures cited at NZ Adviser's June 2026 roundtable, where participants agreed adviser education remains the main engine of non-bank growth.
Pricing built for volume, not margin
Because its funding comes from a domestic bank, MB Private's mortgage rates are not far above those of the main banks, according to Morrison. In some cases, particularly at lower LVRs, they may even be lower.
The aim is to build consistent volume with advisers who trust the lender, by pricing each loan fairly for the risk involved.
"We are seeking volume rather than pure margin on any given deal," Morrison said.
He said that signals a partnership with advisers and gives them an incentive to place business.
The lender is also introducing fixed and floating rate options. Morrison noted that many borrowers value a fixed rate for the repayment certainty it gives across the loan term.
Advisers can start placing loans now.
"We are genuinely open for business and here to help," Morrison said.
MB Private offers onboarding and product training, supported by local staff in Auckland and Christchurch, and expects the full $150 million to be deployed by early next year.
How the funding model was built
Morrison previously co-founded an Australian non-bank lender that has originated more than $3 billion in loans. That business attracted funding from retail and wholesale investors first. It proved the model before institutional money was sought, but "it was always going to be a ‘slower burn’ to get to scale," he said.
With MB Private, he reversed the order. Shareholder funds came first, used to assemble a proven team that could give an institution confidence in its ability to run funds management and non-bank lending at scale. Funds for wholesale investors will come later, once the business has a track record to point to.
"Westpac could see that we were a team worth backing," Morrison said.
The deal marks the first time one of New Zealand's four major banks has provided institutional funding to a non-bank lending start-up.
For now, the arrangement is purely a funding commitment. The two businesses worked closely through due diligence and the setting up of the warehouse funding facility, and Morrison expects that relationship to continue, though nothing formal is in place beyond funding.
First, he said, MB Private needs to "show our expertise at understanding New Zealand property and mortgage risk," along with funds and treasury management.
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