PenFed Inks Correspondent Mortgage Pact With North Island CU
SAN DIEGO – Pentagon FCU and North Island CU have signed a correspondent mortgage contract under which North Island will offer home loans originated by the Virginia-based credit union giant.
Under the deal, North Island has the option of serving as a wholesale partner for PenFed’s mortgage products or may choose to retain a portion of the loan in its own mortgage portfolio. Both credit unions will actively market this program in California to North Island’s existing membership, and to residents living in the San Diego County area.
PenFed said its partnership with North Island CU is unique in that it creates a new approach for credit unions seeking to work together for the betterment of their membership. The advantage is that marketing power is enhanced, product offerings are increased, and the competitive strength of both institutions is improved, it said.
“Working collaboratively with PenFed allows North Island CU to expand mortgage product offerings to its members, and do so in a more efficient manner by utilizing the scale provided by PenFed,” stated North Island CEO John Tippets. “That efficiency translates into a win for members with better pricing and terms on their mortgage loans.”
Over the past few years, PenFed has increased its presence in numerous states through its wholly-owned subsidiary, PenFed Realty, which is a full-service real estate brokerage firm that offers comprehensive real estate services nationwide to PenFed members and non-members alike.