Ann: Change in substantial holding, page-19

NAB exited the car financing business (but basically outsourced the entire business to Plenti - so NAB provide the funding & presumably clients, and Plenti provide the back end process including the credit checks etc.....takes some confidence in Plenti's processes) and now Macquarie have done the same

If MME can secure something similar (yes less margin because presumably Plenti are sharing that margin with NAB, but basically enough funding to grow this at scale) then it will change the whole nature of the business......the problem is that few banks will just accept others credit checking processes.

My sense is that NAB's back end is a disaster (i.e. too costly) and for $30-40k loans the economics is marginal, so why not go to an online provider that is cheaper than their existing backend......I'm not sure there are too many other big banks that have similar issues (and/or willing to take on the credit risk from a 3rd party provider).