/ 26 August 1999

BANKS TO BID FOR BONDS

BANKS can now bid for for the mortgage bond business of homebuyers and homeowners using a specialised web site, it was announced Tuesday. At BondNet, consumers can call for bids for new mortgage bonds, second bonds, as well as switch their existing mortgage bonds to an institution which offers better terms and or interest rates. Potential borrowers can log in to web site and fill in an application form which is then forwarded to the participating banks. Each of these banks then bid for the applicant’s business and send back their bids to BondNet, who in turn e-mails the respective bids to the applicant. Participating banks are FNB Properties, (a division of Firstrand Bank Limited), Saambou Property Finance, Imperial Bank and FBC Fidelity Bank.