Kogan to move into home mortgages
According to an ASX announcement late last week from Kogan.com, the next business venture from the pure-play online retailer will see the company branch out into the mortgage sector. Fresh from last month's 277 per cent rise in full year profit to A$$14.11 million - an increase of more than $10 million in one year - the ASX-listed Kogan.com has signed multi-year agreements with Adelaide Bank and Pepper group. These deals will see Kogan Money Home Loans, to be launched in FY19, become the first of several financial services products Kogan plans to offer that year.Under an agreement with two lenders, Kogan will call on Adelaide Bank to offer conforming or prime home loans. Pepper will make near prime, non-conforming or specialist, home loans.Kogan stated it will pocket fees from every mortgage, although details such as the pricing of fees and interest charges are expected closer to the launch date.This latest venture adds to the diversification from Kogan.com, which already has home and contents, car, landlords and travel insurance policies among its online offerings. This insurance is underwritten by Hollard Insurance.