Toronto, Ontario, December 2, 2019– First National Financial Corporation (TSX: FN, TSX: FN.PR.A, TSX: FN.PR.B) today announced that First National Financial LP has entered into an agreement with Manulife Bank of Canada (“Manulife Bank”) to provide underwriting and fulfillment processing services for mortgages originated by Manulife Bank through the residential mortgage broker channel in Ontario and Atlantic Canada.
Under the strategic agreement, First National will employ a customized software solution based on its industry leading MERLIN technology to accept mortgage applications from the Manulife Bank mortgage broker channel and underwrite these mortgages in accordance with Manulife Bank’s credit policies, compliance standards and controls. Manulife Bank will fund all the mortgages underwritten under the agreement and retain full responsibility for underwriting guidelines, mortgage servicing and the client relationship. The underwriting and fulfillment services provided by First National will enable Manulife Bank to further enhance its already strong presence in the mortgage broker channel.
“This is an important agreement that leverages the distinct capabilities and strengths of both parties,” said Stephen Smith, Chairman and Chief Executive Officer of First National. “For First National, it represents the next step in the expansion of our underwriting and fulfillment services."
First National will provide these services from its offices in Toronto. “The mortgage broker distribution channel accounts for about $90 billion of new mortgage originations each year,” said Scott McKenzie, Senior Vice President, Residential Mortgages. “This agreement further validates the channel's relevance where First National will continue to be a lender in its own right.”
“We are very pleased to be chosen for this mandate,” said Jason Ellis, President and Chief Operating Officer, “It’s a clear endorsement of our industry-leading technology and expertise in the independent mortgage broker channel by one of Canada’s premier financial institutions.”
Manulife Bank offers everything from everyday banking accounts to mortgages, deposits, and loans. Manulife Bank has proven that banking can be done differently and has been doing it for more than 25 years. On a mission to make lives better and decisions easier, this new agreement gives Manulife Bank greater flexibility to expand the availability of Manulife One to more Canadians.
First National will commence the underwriting and fulfillment processing services beginning in December 2019.
About First National Financial Corporation
First National Financial Corporation (TSX: FN, TSX:FN.PR.A, TSX:FN.PR.B) is the parent company of First National Financial LP, a Canadian-based originator, underwriter and servicer of predominantly prime residential (single-family and multi-unit) and commercial mortgages. With over $110 billion in mortgages under administration, First National is Canada’s largest non-bank originator and underwriter of mortgages and is among the top three in market share in the mortgage broker distribution channel. For more information, please visit www.firstnational.ca.
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