India Post Payments Bank IPPB to offer home loans to HDFC

India Post Payments Bank IPPB and HDFC entered into a strategic alliance to offer home loans to nearly 4.7 crore customers of the payments bank.

Leveraging its country-wide network of 650 branches and over 1,36, 000 access points Post offices aims to make HDFC's products and its expertise available to its customers across India, HDFC said in a statement.

A Memorandum of Understanding MoU on the strategic alliance was signed on Monday.

The partnership aims to facilitate HDFC's home loans to customers, especially in underserved areas with many of them having little or no access to finance, to fulfill their dream of owning a home. will offer housing loans through nearly 190,000 banking service providers Postmen and Gramin Dak Sevaks it said.

As per the MoU, credit, technical and legal appraisals, processing and disbursement for all home loans will be handled by IPPB, while it said that IPPB will be responsible for sourcing of loans.

Venkatramu said financial inclusion cannot be achieved without enabling access to credit as a significant chunk of customers do not have a bank or a financial institution providing housing loans in their vicinity.

The alliance aims to make housing loans available and accessible, using a digitally enabled agent banking channel and position IPPB as a one-stop platform for all banking needs of customers, including credit, he said.

Commenting on this partnership, HDFC MD Renu Sud Karnad said that this alliance will go a long way to promote affordable housing in remote locations of our country in line with the Prime Minister's vision of Housing for All.

From its inception to date, IPPB has introduced a range of unique and innovative banking products and services catering to the needs and requirements of different customer segments and is also enabling easier digital adoption at the last mile through an assisted banking model.