BMO executives told analysts Friday the bank is committed to its RV lending program in the U.S. and Canada.
A Bloomberg report in October, citing unnamed sources, said the bank was talking with potential buyers about acquiring BMO’s RV loan portfolio.
Friday, executives said the bank was pulling out of its indirect auto lending practices but was as committed as ever to RV lending.
Tayfun Tuzun, BMO’s chief financial officer, said, “We like the RV business. We have a large-scale operation in the U.S. with the No. 3 market share that Bank of the West brought to us. It is a good business, and we have very good relationships with our dealers. We are not getting out of that business, no matter what scuttlebutt may say.”
Ernie Johannson, the head of BMO’s North American personal and business banking division, reinforced Tuzun’s comments.
“I really want to reiterate Tayfun’s point around our marine/RV business in the U.S.,” Johannson said. “(This) is a 30-year business that has a No. 3 market share. It was attractive to us as we went into the Bank of the West side arrangement and we are committed to the ongoing originations of that program. (We) are seeing a good success as we speak right now.”
