As reported Monday, CitiFinancial is shuttering its mortgage broker division.
The company’s broker operations were managed out of Citi’s Centralized Mortgage Operation facility in Mississauga, Ontario. Approximately 100 employees will be affected, including positions in broker sales and in branch operations.
Following these actions, CitiFinancial will have “approximately 1750 employees in Canada,” the company says.
Citi told us the move is essentially “part of a broader effort by CitiFinancial to improve productivity and generate efficiency” among its business lines.
It also says the decision was “consistent with Citi’s focus on allocating capital to the best opportunities for growth.” Apparently high-interest-rate self-insured 80-100% loan-to-value 1st and 2nd mortgages marketed through brokers was not a “growth” area.
CitiFinancial says it “remains committed to meeting the financial needs of consumers” directly in Canada. It will continue to offer mortgages through its 330 Canadian branches.
We wish the employees affected the very best as they move on to new opportunities.