Spanish bank Bankinter is looking to enter the Irish banking market, following the success of its Avant Money mortgages and consumer credit business.
The lender initially plans to passport in banking services, including a deposits offering, under its Spanish licence but using the Avant Money brand. It is believed that it will ultimately aim to secure a full Irish banking permit. Sources said that the bank will be digital based, rather than using the traditional branches model.
A formal announcement is expected later on Friday. It will likely be seen as a significant boost for competition here following a slew of overseas banking exits since the financial crash. Retail banking here is currently dominated by AIB, Bank of Ireland and Permanent TSB.
Bankinter, the fifth-largest Spanish bank with a €113 billion balance sheet, entered the Republic in 2018 through the acquisition of AvantCard, a credit card and consumer finance business, from US investment group Apollo. AvantCard was subsequently renamed Avant Money, which moved into Irish mortgages in late 2020 with rates starting at 1.95 per cent for first-term products, undercutting the cheapest home loans in the market at the time.