First NZ Capital suggests niche player Heartland Bank faces competition from big banks looking to replace earnings lost due to LVR restrictions

By Gareth Vaughan

Heartland Bank may be coming under pressure in its niche markets from major banks looking to replace earnings they've lost due to the Reserve Bank's restrictions on high loan-to-value ratio (LVR) residential mortgages, First NZ Capital says.

First NZ Capital analyst Greg Main suggests this in a report on Heartland's planned NZ$87 million acquisition of reverse equity mortgages businesses Sentinel and Australian Seniors Finance.

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