Housing Development Finance Corporation (HDFC) Ltd has entered into a strategic joint lending partnership with Indiabulls Housing Finance to offer house loans to competitive homebuyers.
“Both entities’ participation in extending credit facilities will be on a risk-sharing and reward basis on mutually agreed terms,” HDFC said in a regulatory filing on Wednesday.
Noting that Lndiabulls Housing Finance has a India-wide branch network and a history of customer acquisition, HDFC said under the arrangement, Lndiabulls HFL will originate and process retail home loans in accordance with jointly drawn credit parameters and eligibility criteria.
“The Corporation will have 80 per cent of the total loan in its books, and its share of all loans will be approved by the Corporation,” he said, adding that Hb Indiabulls will serve the loan account throughout the life cycle of the loan. loan.
Technology-led co-lending is expected to help both companies offer its customers a convenient and seamless experience as well as help expand their reach to Tier Ill and IV cities in India, HDFC said further.