PNB Housing Finance has tied up with Yes Bank for a strategic co-lending service that will facilitate retail home loans at competitive rates. PNB Housing and Yes Bank will synergise capabilities to provide an efficient and seamless experience to existing and new retail home loan customers, PNB Housing Finance said in a regulatory filing. In filing PNB Housing Finance said, it will service the customers through the entire loan lifecycle, including sourcing, documentation and collection with an appropriate information sharing arrangement with Yes Bank.
In 2020, the RBI allowed the co-origination of housing finance companies (HFCs) with banks to enable non-banking finance companies and other banking institutions to provide mutually beneficial risk assessment services. The revised co-lending model, introduced in November 2020, gives lenders greater flexibility vis-a-vis offering higher credit for the unserved and underserved segments of the population.