YES Bank and Indiabulls Housing Finance have partnered for a strategic co-lending deal to source and service home loans.
Under this strategic co-lending agreement, they will offer home loans to homebuyers at competitive interest rates, YES Bank and Indiabulls Housing Finance said in a joint release on Wednesday.
The partnership aims at synergising capabilities to provide an efficient and seamless experience to retail home loan customers, it said.
The co-lending framework laid down by RBI provides a collaboration tool to benefit from the low-cost funding model of a bank and the cost-efficient sourcing and servicing capabilities of a non-bank.
The bank is looking forward to further building a profitable and quality home loan portfolio through this partnership, Rajan Pental, Global Head - Retail Banking, YES Bank said.
"This is in line with YES Bank's strategy of expanding its retail franchise through a mix of organic and partnership-led origination model," he said.
Gagan Banga, Vice Chairman, and Chief Executive Officer, Indiabulls Housing Finance said this will allow the company to leverage YES Bank's deposit-led franchise.
"It complements our technology-led distribution to provide efficient solutions around home loans to a wide gamut of customers across geographies, ticket-size and yield spectrum, to give us balance-sheet light growth and profitability," Banga said.
