Australia & New Zealand Banking Group Ltd. decided to suspend its consumer asset finance business in Australia as it undertakes a detailed review of the business.
Catriona Noble, managing director for retail distribution, said increased technology costs required to compete in the consumer asset finance market prompted the bank to suspend new loans as it reviews the business, which represents less than 1% of revenue within the group's broader Australian operations.
ANZ's asset finance business provides loans for motor vehicles, boats and caravans for retail customers.
The bank will continue to service existing retail customers during the suspension period, which will take effect April 30. The review is expected to be completed Sept. 30.
The bank said its commercial asset finance products remain a core business for the group.
ANZ has been off-loading noncore assets as it seeks to focus on its core banking operations. In 2017, the group announced the sale of its pensions and investments business to IOOF Holdings Ltd., followed by the sale of its insurance business to Zurich Insurance Group AG.
