Mortgage Choice Limited said today that as a consequence of a comprehensive strategic and operational review, the company has made the decision to shut down its Help Me Choose business unit. Mortgage Choice presented its FY15 financial results in August and chief executive officer John Flavell made it clear that Help Me Choose’s financial result needed addressing.
“The less than favourable financial result of the Help Me Choose business prompted a comprehensive review of the operation and a decision has been made to close it down in its current form,” Mr Flavell said. “Mortgage Choice will continue to focus on evolving the Mortgage Choice business by building a compelling and differentiated financial services offering and, in turn, providing sustainable earnings for its shareholders. “Capitalising on the significant opportunities facing Mortgage Choice requires focus, and continuing to invest in a business that is unlikely to be profitable in the foreseeable future does not make sense.”
The operation was acquired in October 2010 when the comparison website HelpMeChoose.com.au, was said to be one of the top websites of its kind in Australia, offering guidance on home loan, health insurance and life insurance.
Mortgage choice total loan book reached $48.4 billion, up 4.5% from $46.4 billion at 31 December 2013 and they expect it to reach $50 billion by 1H16.
