Edelweiss Housing Finance, Standard Chartered Bank partner for co-lending of loan against property

Edelweiss Housing Finance on Wednesday announced a strategic co-lending partnership with Standard Chartered Bank, for extending loans against property (LAP) to prospective customers, especially MSMEs. “Definitive agreements as per RBI’s Co-Lending Model (CLM) have been executed between EHFL and Standard Chartered Bank,” the two said in a statement, adding that the business partnership model will combine Standard Chartered Bank’s expertise in this segment with Edelweiss’ reach and strong origination capabilities. Under this partnership, EHFL will originate, process, service the loans and retain 20 per cent of the loan on its books, while the remaining 80 per cent will be on the books of Standard Chartered Bank. The co-lending partnership will help the bank grow its loan portfolio, it would provide an alternate model for loan disbursals that is asset-light and creates a sound revenue model for sustainable business for EHFL, the statement further said.