Provident Financial buys car firm Moneybarn

Doorstep lender Provident Financial today bought the car finance specialist Moneybarn for £120 million to broaden its customer base.

The company, which targets customers who are shunned by mainstream lenders, said the deal would “create a third leg of earnings” on top of its core consumer credit division and Vanquis credit-card unit.

Moneybarn offers secured loans through brokers, car dealers and its website.

Its team, led by managing director Peter Minter, will remain with the company and report directly to Provident’s boss Peter Crook.

Crook said: “I am delighted to announce the acquisition of Moneybarn.”