GMAC-RFC, a General Motors Company, has started its mortgage lending business in Germany. GMAC-RFC acquired DFH Eigenheimbank GmbH, Saarbruecken and renamed it, GMAC-RFC Bank GmbH. The bank will offer residential mortgages to private customers throughout Germany. GMAC-RFC will distribute its products through intermediaries including mortgage brokers, insurance companies and other retail financial service companies.
Matthias Bergmann, German Country Manager, GMAC-RFC, commented "The German residential mortgage market is going through a period of significant change, as exemplified by the KfW True Sale Initiative. GMAC-RFC is a worldwide leader in the true-sale securitisation of residential mortgages. This acquisition is a great opportunity to enter the German residential mortgage market and expand GMAC-RFC's geographical footprint in Europe."
Bergmann continued "In just a few years, we have become the 13th largest residential mortgage lender in the U.K. and have a growing presence in the Netherlands."
GMAC-RFC is based in Wiesbaden and takes applications on a case-by-case basis or buys groups of loans in portfolios. "We utilize a risk-based pricing approach and look at the credit risks involved in different mortgage categories and price accordingly. This approach allows us to offer wider lending criteria than most of the traditional lenders", says Franz Schmidpeter, Sales Director, GMAC-RFC. "We also expect to partner with other lenders so that they can offer a wider range of mortgages to their customers without increasing their credit risk or capital exposure. We can fund those loans they do not want on their balance sheet" adds Matthias Bergmann.
For further information on GMAC-RFC please visit www.gmacrfc.co.uk
