Financial Services firm IIFL Home Finance Ltd entered into a co-lending arrangement with public sector lender Punjab National Bank (PNB). The former says it now ambitions to widen its loan book by 25% via such partnerships. IIFL's press release stated this is the fourth co-lending agreement signed by the bank.
"...The loan sourcing and servicing will be managed by IIFL Home Finance and 80 per cent of the loan will be provided by PNB," the company said in its press release. It would services customers through the entire loan cycle, from sourcing, documentation, collection to loan servicing.
The company claims the partnership would help it to enter the affordable Home Loan and Secured MSME Loan markets, and strengthen Home Finance Limited's portfolio.
It has earlier inked co-lending pacts with ICICI Bank, Central Bank of India and Standard Chartered Bank.
IIFL HFL has disbursed loans worth Rs 170 crore till date under similar arrangements, the press release read.
