Pure Retirement

The Challenge

In 2013, PSL was approached by Pure Retirement who were a small but fast growing Lifetime Mortgage lender originating a modest £50million per year.

Pure Retirement had highly ambitious growth aspirations and understood that in order to achieve these goals they needed the right partner to provide them with unparalleled support and expertise.

Objectives

In order for Pure Retirement to upscale their business they needed specific support in key areas of their business, so set the following objectives:

1. The ability to scope and deliver the ‘on-boarding’ of unique funding relationships with targeted life companies.
2. The creation of a Lifetime Mortgage origination and servicing technology solution, which could be offered to other lenders, with on-going support and development from Pure Retirement, to win new business.
3. To identify and implement additional opportunities for Phoebus APIs to support both the customer and adviser journey including bespoke workflow solutions.
4. To enable the migration and implementation of significant updates of Lifetime Mortgages to core Equity Release/Lifetime Mortgage elements of the Phoebus platform.
5. To have a partner that had the skills and resource to deliver ad hoc business solutions quickly and efficiently to match the growth of Pure Retirement.

Results

PSL has delivered tangible and measurable results year-on-year to deliver against the objectives set out by Pure Retirement.

Most notably, since the beginning of the collaboration between PSL and Pure Retirement in 2013, Pure has grown to ten times the size that it was. From a modest-sized Lifetime Mortgage lender originating less than £50million per year to one with a £1.2billion portfolio and a 2020 run rate in excess of £500million per year.

Other results over the past seven years include:

2014 – Launched 2 distinct products with 2 separate funders simultaneously (both with market leading “fee free” options).

2015 – Extended the “fee free” products to include cashbacks and greater drawdown flexibility.

2016 – Site to Site Replication of the Phoebus database tables allowing Pure to build ancillary services to complement the core robust Phoebus platform. Launch of Pure’s 3rd funder.

2017 – Using the replicated database Pure were able to build and entirely bespoke workflow system to handle the 3 distinct funder’s origination and servicing requirements. Implemented the use of PSL’s product and KFI production APIs (allowing advisers to produce a KFI directly from data already present in their proprietary customer management systems). Launched the Broker portal (KFI production, online application and case tracking) which is entirely reliant on the core PSL platform. Also launched the Nationwide Building Society Lifetime Mortgage proposition using Phoebus to produce the KFI/Offer/Completion and carry out all account servicing (white labelled proposition using Pure staff/intelligence and the PSL platform).

2018 – Heavily customised the 3 core products allowing flexible early repayment charge free partial repayments, market leading interest rates, along with many other product related features and managing upwards of 500 new product releases each month. Launched 4th funding relationship and 4th unique product set which was launched in less than 3 months from agreeing product shape and terms due to Phoebus ability to divert resource to the appropriate areas.

2019 – Further customisation of the core Phoebus system with the market being so competitive an average of 3000 new products were created each month (mainly due to interest rate fluctuations). As a result of the above and to reduce the high degree of product management taking place within Phoebus, Pure decided to request of Phoebus the ability to feed in an interest rate from a 3rd party source (rather than said interest rate being dictated by the product set up within Phoebus) via an API. Whilst product features other than the interest rate can be dictated by the product set up in Phoebus the ability to “flexible price” based on individual customer circumstances will enable Pure to remain competitive going into 2020.

2020 –
In addition to extensive work regarding APIs for KFI creation and customer interest rate pricing, PSL is working with Pure to deliver the following in 2020:

• A Mortgage Migration API for lifetime mortgage assets which will allow the smooth migration of lifetime mortgage portfolios.
• A Mortgage Applications API to meet the requirements of Pure Retirement, allowing Pure’s online application data to be fed directly into Phoebus.
• Customer post completion API which will support Pure’s goal to transact online with its customers post completion of their Lifetime Mortgage.

The outstanding results obtained by PSL, in helping Pure Retirement to increase its lending originations from £50million per year to in excess of £500million per year with a £1.2billion portfolio, and the depth of our ongoing relationship with Pure Retirement demonstrates a successful blueprint for genuine collaboration in action with other clients.