Would you take out a mortgage with Walmart?

One-third of Americans say they would consider a home loan from Walmart, a service that doesn't exist.

Either home-buyers in the United States are losing trust in banks or they think Walmart and other non-banking companies should get in the financial services business.

A survey from Carlisle & Gallagher Consulting Group found that one-third of Americas would consider taking out a mortgage with Walmart, about half would consider a mortgage from PayPal. Impressive numbers for a financial service that neither of the companies offer.

Even if they decided to start offering mortgages, they wouldn't be the first retailer to offer home loans, Reuters reports:

It's not unheard of, though, for retailers to enter the mortgage business. In late 2011, warehouse retailer Costco Wholesale Corp (COST.O) began offering home loans online through select lenders. The company doesn't disclose loan volume, but the service has gone well, said Jay Smith, Costco's director of financial services.

"We have tried to make it a service where members see significant value on rates and fees," Smith said.

Reuters says that more and more non-bank mortgage companies are increasing their market share as large banks are putting less of an emphases on home loans.

Still, while 80 percent of respondents to the survey said they would consider a non-bank for their mortgage, 70 percent said they would prefer to get their loan from a bank.

One in three U.S. consumers would consider a Wal-Mart mortgage: study [Reuters]

Photo: Flickr/Walmart Corporate

This post was originally published on Smartplanet.com

Newsletters

You have been successfully signed up. To sign up for more newsletters or to manage your account, visit the Newsletter Subscription Center.
Subscription failed.
See All