Capri Global Housing Finance Ltd, wholly-owned subsidy of Capri Global Capital Ltd, focused on the Affordable Housing Finance space has entered a co-lending alliance with the State Bank of India (SBI).
The collaboration aims to offer housing loans under priority sector to eligible homebuyers at competitive interest rates across its 110 touchpoints in India.
The loan disbursement under this arrangement would commence from March 2022, the company said in a statement.
Capri Global Housing Finance Ltd, through its diversified network of branches across 10 states and Union Territories, will originate and process home loans as per mutually agreed parameters with SBI in line with the co-lending framework laid down by the Reserve Bank of India.
Capri Global Housing Finance Ltd will act as a servicing agent for the loan accounts sourced under this partnership throughout the loan's life cycle and retain 20 percent of the loan on its book, whereas SBI will maintain 80 percent of the loan.
The co-lending framework will collaborate the operational management expertise of Capri Global Housing Finance Ltd and low-cost fund of SBI to offer an affordable credit solution to the borrowers.
Dinesh Khara, Chairman, SBI, said, "This collaboration will enhance our distribution network, as we aim to extend our credit reach to more Home Loan borrowers of the unserved and underserved segments. Such partnerships align with our commitment to accelerate effective and affordable credit to small home buyers in India and contribute to the vision of ‘Housing for All by 2024’”.
Rajesh Sharma, Managing Director, Capri Global Capital Ltd, said, “This partnership will help increase both enterprises' profitability and expand respective home loan portfolios. It will also allow both the financier to penetrate deep into the markets of tier II and tier III cities at very competitive rates. The alliance will leverage the comparative advantages of both entities to offer an efficient and seamless experience to home loan borrowers. ”
Capri Global Housing Finance Ltd is offering credit to the underserved borrowers of the society to drive a financial inclusion and create large-scale social impact through financial empowerment. As of December 31, 2021, the company has offered home loan to 17,500+ customer and helped them achieve the dream of owning a home, it added.
