Wintrust Bank has agreed to buy $ 570 million in loans from The Allstate Corp. and become the preferred national provider of Allstate agent loans.
The Rosemont-based bank, which has branches in Dyer, Lansing and the southern suburbs, will purchase 1,800 loans from Allstate agents nationwide through its wholly-owned subsidiary, Lake Forest Bank & Trust Company . Agents borrowed money to establish, develop and meet the working capital needs of their businesses.
The deal is expected to be concluded this month.
“Wintrust is delighted to be working with Allstate to acquire agency loans and looks forward to serving Allstate’s agents in the future,” said Edward Wehmer, Founder and CEO of Wintrust. “This portfolio and the related ongoing opportunity is a perfect fit with our existing insurance finance business. . It is also an example of two large Chicago companies coming together to meet the needs of their stakeholders.
Wintrust is also building a team of Allstate agency lending specialists as it grows its insurance agency finance business by becoming the preferred lender for Allstate agents. The bank will offer them agency term loans, revolving credit finance, SBA loans, real estate finance and other banking services. It will also provide Allstate agents with wealth management, mortgage and digital banking services.