Shuttered mortgage firm Private Label is being revived to target a perceived lack of innovation in the market, Money Marketing sister title Mortgage Strategy understands.
Private Label, a pioneer in the market, was known for thinking up and launching clever mortgage products in the 1990s and early 2000s.
It was founded by mortgage veteran Stephen Knight in 1990, and was bought by General Motors Acceptance Corporation in 1998.
It was closed to new business in October 2002, however, as GMAC came under financial pressure and began selling off its UK businesses.
But now Brightstar Financial plans to revive the brand this summer and has secured the right to use the Private Label name, according to sources.
A source close to the deal says the relaunched Private Label would “provide innovative and responsible mortgages to fulfil niches in the market”.
A Brightstar spokesman declined to comment.
However, Brightstar bought the www.privatelabel.co.uk website last November, according to domain name registries.
Private Label was formerly owned by Paratus AMC, which was set up by Fortress, which in turn bought GMAC’s UK mortgage assets in 2010.