Central Bank of India, one of the leading public sector banks, has entered into a strategic Co-lending partnership with lndiabulls Housing Finance to offer housing loans under priority sector to homebuyers at competitive rates, subject to the compliance with the applicable law(s) including the applicable guidelines issued by Reserve Bank of India (RBl).
The participation by both the entities in this co-lending arrangement will result in greater disbursement of Housing Loans by Central Bank of India & lndiabulls HFL.
Under this arrangement, lndiabulls HFL will originate and process retail home loans as per jointly formulated credit parameters & eligibility criteria and Central Bank of India will take into its book 80°/o of the Housing Loan under direct assignment transactions on mutually agreed terms. Indiabulls HFL will service the loan account throughout the life cycle of the loan.
This Co-lending arrangement is expected to help both the entities to offer convenient experience & customer delight to their home loan customers as well as help expand their reach across India, the bank said.
Indiabulls HFL is a RBl regulated housing finance company with pan India branch network and has a track record of customer acquisition.
Shares of the Bank gained Rs 2.1, or 10.12%, to trade at Rs 22.85. The total volume of shares traded was 8,659,843 at the BSE (3.28 p.m, Monday).