Commerzbank and BNP Paribas part ways over lending JV
The German bank says it has reached an agreement with BNP Paribas Personal Finance on the split-off of the business division holding the instalment loans brokered by Commerzbank from Commerz Finanz.
Michael Mandel, member of the board of managing directors of Commerzbank responsible for private and small business customers, says it “always enjoyed a very good, trusting co-operation with BNP Paribas” – “however, instalment loans are an important growth area for us – which we intend to digitalise, expand, and operate ourselves”.
Commerzbank introduced its own digital instalment loans in the first half of the year.
As a result of this development, an instalment loan portfolio of about 300,000 customer contracts with a volume of approximately €3.5 billion is transferred from Commerz Finanz to Commerzbank in the “framework of a partial transfer of business”.
For BNP Paribas Personal Finance it plans to develop its business in Germany under a new brand, Consors Finanz. It says the 1.5 million customers are now integrated into the BNP Paribas Group “without any impact on relationships and current contracts”.
It also reminds people that its Consorsbank has already been introduced in Germany as a fully digital direct bank and online broker.
Hopes and past desires
If you like history, then BNP Paribas Personal Finance’s relationship with Commerz Finanz and Germany goes back to 2001 – firstly by launching Cetelem Bank through the acquisition of WKV Bank, a local Bavarian bank. In 2005 the bank was rebranded into Dresdner Cetelem Kreditbank.
Following the acquisition of Dresdner Bank by Commerzbank in 2010, the bank acted under the brand name Commerz Finanz. In 2014, BNP Paribas Personal Finance and Commerzbank renewed their business co-operation.
BNP Paribas Personal Finance is also in Germany with Von Essen Bank – and they offer consumer credit, consumer finance, loan consolidation and mortgages.
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