IBH & ICCl Ventures into co-lending Partnership with Central Bank of India

Indiabulls Housing Finance (IBH) and Indiabulls Commercial Credit (ICCL) decides to step into a strategic co-lending partnership with Central Bank of India. This initiative has been taken to offer secured retail loans and secured MSME loans respectively at reasonable rates.

IBH and ICCL would now originate loans as per credit policy jointly drawn up with Central Bank of India. These loans will then be securitised to Central Bank of India on back-to-back basis in line with the provisions of RBI's Co-Lending Model.

IBH/ ICCL will retain 20 percent of the loan on their books while 80 percent will be on Central Bank of India's books. IBH/ ICCL would service the loan account throughout the life cycle of the loan.

Co-lending team up with Central Bank of India would be a key partnership in IBH's new balance-sheet light growth business model. However, technology led co-lending would help IBH offer convenient and seamless experience to its customers as well as help expand its reach to Tier III and IV towns of the country apart from strengthening its foothold in Tier I and Tier II towns.