Banknorth Launches Online Mortgage Program for Home Buyers, Refinancing

User-friendly service enables customers to monitor interest rates daily and calculate monthly payments

Banknorth Group, Inc., the parent company of Peoples Heritage Bank in Maine, announced today it has launched an extensive, easy-to-use mortgage website that enables customers to apply for a mortgage loan online, monitor mortgage interest rates, contact a loan officer in their area, and access an in-depth online mortgage resource center to help answer questions.

Located at www.BanknorthMortgage.com, the online application was designed to streamline the mortgage process for customers without losing the personalized touch for which Banknorth's online products are known.

For example, the Banknorth Mortgage website provides individual web pages and contact information for every Banknorth loan officer in the six states that Banknorth serves, enabling customers to contact and work directly with a loan officer in their area, if they prefer. The online mortgage service also is backed by a team of mortgage sales representatives trained in mortgage financing, much like the Customer eCare support the company provides to complement its online banking services.

In addition, Banknorth online users have access to mortgage calculators, an e-mail RateWatch service, a "What to Expect" section, and a number of other research components.

"All the information and research tools they need are at their fingertips, so they can make an informed decision before they submit an application," said Richmond W. Allen, a senior vice president in Banknorth's Residential Lending Department.

The site was also designed so that an online visitor could complete an application to refinance an existing loan or purchase a home in about 20 minutes. "Whether home buyers use the site as a source of information or to apply online, we give them a number of choices, plus the resources to learn all they can before applying," Allen said.

Banknorth's online mortgage component is powered by Mortgagebot.com, a nationally rated state-of-the-art online lending platform.

The Banknorth mortgage application process is also dynamic; meaning that the information requested changes based on the customer's answer to previous questions. "In other words, we only ask what we need to know - by eliminating duplication and unnecessary questions, the process is much faster and easier for the customer," Allen said. "And our 'RateWatch' service is a big plus, as it lets a customer register to receive periodic e-mails with our rates or when the rate for a certain product hits their target. The daily calls to check rates and searching through newspaper listings can be eliminated, which gives our customer more control and fewer hassles in the process."

"This and other e-commerce initiatives introduced by the company over the past two years are designed to make the lives of our customers easier. It's part of our overall strategy to offer top notch, user-friendly online services that increase convenience and efficiency, without losing the personal touch," said William J. Ryan, chairman, president and chief executive officer of Portland, Maine-based Banknorth Group, Inc. (NASDAQ: BKNG), one of the 35 largest commercial banking companies in the U.S. with $21 billion in assets and nearly 300 branches at banking affiliates in six Northeast states.

Unlike many other Internet lenders who only lend online, this new mortgage service is backed by Banknorth Group, a major financial institution in the Northeast with loan officers throughout a six-state region. "Our customers have a choice - apply online or through our network of loan officers," Allen added. "Either way, our new website is a great place to start. Other mortgage products and services offered over the Internet often lack traditional customer service, whereas we embrace it."

The online mortgage service complements Banknorth's launch last year of online banking for its more than 1.5 million customer households. That launch included new websites for each of its banking affiliates and the introduction of Customer eCare. Banknorth also recently launched a number of online banking services for its small business customers throughout the region.

Banknorth Group's banking subsidiary, Banknorth, N.A., operates the following divisions: In Maine, where the company is headquartered, the group operates through Peoples Heritage Bank; in New Hampshire through Bank of New Hampshire; in Massachusetts through Banknorth Massachusetts; in Vermont through Banknorth Vermont; in New York through Evergreen Bank; and in Connecticut through Banknorth Connecticut. Customers can access any of the above banks and their online services through the Banknorth Group corporate website, which is www.banknorth.com.

Banknorth Group, Inc. also operates subsidiaries in insurance (Banknorth Insurance Group), investments (Bancnorth Investment Planning Group, Inc.), a money management firm (Banknorth Investment Management Group), and a leasing company (Banknorth Leasing). Other divisions and subsidiaries provide services in mortgage banking, asset-based lending, private banking, merchant services and other financial services. For more information, visit the company online at www.banknorth.com.

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