Home First Finance forges co-lending partnership with Union Bank of India

Home First Finance Company India has forged a co-lending partnership with Union Bank of India (UBI) to provide customers with home loans at competitive interest rates.

The objective of the partnership is to tap each other’s strengths to give retail home loan customers in the priority sector a seamless experience.

Home First Finance said that the partnership will help it grow its product offerings to customers in the regions it operates, while continuing to utilize its technology led customer-first approach.

Under the partnership, the housing finance company will originate loans as per the agreed credit policy of the Union Bank of India in line with the RBI’s provisions of co-lending model.

Home First Finance forges co-lending partnership with Union Bank of India. Photo courtesy of Bharat Bang/Wikimedia Commons.

Home First Finance said that it will retain a minimum 20% of the loan on its book. The remaining 80% will be on the book of the Union Bank of India.

The housing finance company will work as a servicing agent for the loan accounts sourced under the partnership for the entire life cycle of the loan.

Manoj Viswanathan — MD and CEO of Home First Finance said: “We are pleased to partner with Union Bank of India. We can now leverage Union Bank of India’s deposit-led franchise and complement that with our strong technology-led distribution to provide efficient home loan solutions to a wider gamut of customers.

“This partnership is one more step in our mission ‘to be the fastest provider of home finance for the aspiring middle class, with ease and transparency’.”