On 5th March 2021, PNB Housing Finance and Yes Bank signed a strategic co-lending service to provide convenient and customized retail loans to homebuyers at competitive interest rates.
Objective:
To boost local expertise and assist the bank to increase their footprint in new locations.
Features of the partnership:
Both PNB housing Finance and Yes Bank will jointly do the due diligence and co-originate the loan at agreed ratio.
Benefits:
i.This partnership between PNB housing finance and Yes Bank will provide a range of real estate financing options to the borrowers.
ii.PNB will service the customers through the loan lifecycle┬аincluding sourcing, documentation and collection with appropriate information sharing arrangement with Yes Bank.
Key Points:
i.In 2020, the RBI allowed the co-origination of housing finance companies (HFCs) with banks to enable non-banking finance companies and other banking institutions to provide mutually beneficial risk assessment services.
ii.In November 2020, the revised co-lending model was introduced, this provides flexibility to the lenders and offers higher credit for the unserved and underserved people.
Recent Related News:
On June 18, 2020 ICICI Home Finance Company Limited(HFC) launched SARAL, a special affordable housing loan scheme to finance homes in urban and rural areas. The beneficiaries are women, lower, middle income customers and economically weaker sections, with a maximum household income up to Rs 6 lakh per annum.
About PNB Housing Finance:
Managing Director & CEO- Mr. Hardayal Prasad
Headquarters– New Delhi
Incorporated in 1988
Tagline– Ghar Ki Baat
About Yes Bank:
MD & CEO– Mr. Prashant Kumar
Headquarters- Mumbai, Maharashtra
Established in 2004
Tagline– Experience our expertise
