India Post Payments Bank (IPPB) and HDFC Bank Ltd. on 26 October 2021 announced that a strategic partnership has been entered into to offer Home Loans to around 47 million customers of Payments Bank.
In this context, HDFC said in a statement that with its nationwide network of 650 branches and access to more than 1.36 lakh banking access points (post offices), India Post Payments Bank(IPPB) intends to make home loan products of HDFC available to its customers throughout India.
This partnership aims to take HDFC home loan services to the customers. Especially in the areas of unbanked and under-served, many of which have little or no access to finance. With this, those people will also be able to fulfil their dream of home. However, the company said that IPPB will offer home loans through around One Lakh Ninety Thousand banking service providers-Postmen and Gramin Dak Sevaks.
For this strategic alliance, a Memorandum of Understanding (MoU) has been signed. Executive Director of HDFC bank Renu Sud Karnad said that this association will go a long way in providing affordable housing to all. As per the agreement, the credit, technical and legal appraisal, processing and disbursement for all home loans will be handled by the biggest bank of India HDFC Ltd. While India Post Payments Bank (IPPB) will be responsible for sourcing the loan.
Since its inception, India Post Payments Bank has introduced a wide range of banking products catering to customer segments. These include Digital Life Certificate, Updation of Mobile Number in Aadhaar, Virtual Debit Card. Also, it includes Aadhaar Enabled Payment System Service and DakPay UPI App.