LIC Housing Finance partners with IMGC for loan scheme

LIC Housing Finance has announced a tie-up with India Mortgage Guarantee Corporation (IMGC) to offer a special loan scheme under which borrowers can repay the amount till the age of 75 years.

IMGC will provide LIC Housing Finance with mortgage guarantee which is a financial product that will compensate financial institutions for any losses that may arise on the mortgage loans due to default. This strategic partnership will help LIC Housing Finance attract more home loan borrowers, combat NPAs and increase market penetration. It will also reduce the burden of monthly EMIs on the borrowers along with increasing the loan quantum.

The management indicated that this tie-up will enable them to tap large segment of employees working in SMEs, MSMEs, small entities and self-employed individuals who face rejection related to work profile, workplace, credit history etc. IMGC and LIC Housing Finance teams have worked together to design customized products to aid LIC Housing Finance in its end user segment and calibrated expansion strategy.

On Tuesday, LIC Housing Finance was trading at Rs. 476.70 per share, up by 0.42 per cent on the BSE