AA and Bank of Ireland team up for mortgages market move

AARoadside recovery business the AA plc has joined forces with the Bank of Ireland UK to offer a range of financial services products to UK consumers.

The AA-branded products for the bank, which is a wholly owned subsidiary of Dublin-headquartered Bank of Ireland, will include credit cards, loans, cash savings (including ISAs) and mortgages.

The first product launch, a new credit card, is expected in July 2015 with other products being added over the remainder of 2015. The partnership also expects to launch the first AA-branded mortgage product in 2016.

The exclusive agreement will last for at least ten years.

AA executive chairman Bob Mackenzie said: “This long-term partnership forms a fundamental part of our growth strategy to transform the AA into a membership club serving a broader range of the UK motorists’ needs. AA Financial Services has, in the past, been an important player in the credit card, loans and savings market places.

“This new venture builds on the AA’s brand strength and financial services expertise and lays the foundations for the AA to develop a long term strategic financial services proposition. BOI UK has proven skill in delivering successful partnerships, and will provide us with the platform to do this.”

BOI UK chief executive Des Crowley added: “This new partnership with the AA is an important development for Bank of Ireland, building on the highly valued long term and successful financial services partnership which we have in the UK with the Post Office.

“Our strategy is to selectively be the long-term partner of choice with certain select leading and trusted brands in the UK whose vision and customer ethos we understand and share as they seek to expand and develop their presence in financial services. We look forward to working with the AA on developing attractive financial service offerings for its current and future members.”