Discover Financial Enters Mortgage Market With Deal For LendingTree.com

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RIVERWOODS, Ill. – Card company Discover Financial Services agreed last week to acquire the mortgage loan business of Tree.com, formerly called LendingTree.com, adding a residential mortgage component to Discover's direct-to-consumer banking business.

Discover plans to originate eligible consumer mortgages to sell in secondary markets on a servicing-released basis.

The purchase price was $55.9 million.

Discover will use the business to originate mortgages and then sell them in the secondary market. The deal is expected to close by year end.

 

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