HDFC and India Post Payments Bank team up to offer home loans

Relying on its national network of 650 branches and more than 136,000 banking access points (post offices), IPPB aims to make HDFC’s mortgage products and expertise available to its clients throughout the India.

According to HDFC, “The partnership aims to facilitate HDFC Ltd home loans to clients, especially in unbanked and underserved areas, many of whom have little or no access to finance, to achieve their dreams of owning a house. “

IPPB will provide housing loans through nearly 190,000 banking service providers (postmen and gramin dak sevaks).

As per the MoU, the credit, technical and legal reviews, processing and disbursement of all home loans will be handled by HDFC Ltd while IPPB will be responsible for loan sourcing.

HDFC has launched a number of digital and online initiatives to reach homebuyers during the pandemic. Over 88% of new mortgage applications are received through digital channels. Additionally, HDFC’s website is available in seven languages, keeping the convenience of customers in mind while interacting in their local language, according to the press release.

J. Venkatramu, MD & CEO, India Post Payments Bank said: “Financial inclusion cannot be achieved without enabling access to credit. A significant portion of our clients do not have a bank or financial institution offering home loans in their neighborhood. Our strong network and HDFC’s leadership in the housing finance market, the alliance aims to make home loans available and accessible, using a digital agent banking channel and to position IPPB as a unique platform for all customer banking needs, including credit. “

Under PMAY, HDFC has the largest number of beneficiaries with over 250,000, with cumulative disbursements of 43,000 crore and a grant amount of ??5,800 crore as of June 30. HDFC has remained among the best institutions in terms of assistance to beneficiaries who have benefited from the CLSS program. HDFC was the first establishment to cross two lakes benefiting from the CLSS in September 2020, according to the press release.

From its inception to date, IPPB has introduced a range of innovative and unique banking products and services that meet the needs and requirements of different customer segments and also enables easier last mile digital adoption through an assisted banking model. . Some of the main services of IPPB include Digital Life Certificate (Jeevan Pramaan), Mobile Phone Number Update in Aadhaar, Virtual Debit Card, Aadhar Activated Payment System Service and Dak App. Pay UPI.