the financial services arm of the Murugappa group, jointly announced that it has successfully launched co-lending activities in partnership.
- The co-loan partnership with KVB opens up new business opportunities by allowing access to new customers for KVB and Chola
- The model not only allows the two companies to effectively size their portfolios, but also uses an effective composite risk management framework that instills the risk appetite of both companies.
Chennai: Karur Vysya Bank, the leading private sector bank, and Cholamandalam Investment and Finance Company Limited (Chola), the financial services arm of the Murugappa Group, jointly announced that they have successfully launched a co-lending partnership business.
The co-lending model is a great opportunity for banks and NBFCs to build on each other’s strengths. Co-lending activities will significantly help Chola and Karur Vysya Bank to expand their reach to new customer segments across the country, where Chola has a stronger presence to target high value loan segments such as construction equipment. and commercial vehicles.
Sharing his thoughts on this, Mr. Ravindra Kundu (Executive Director, Cholamandalam Investment and Finance Company Limited) said, “Our mission at Chola is to empower our clients to enter better lives and we continue to innovate to achieve it. We are confident that our co-loan partnership with KVB will help us gain market share in all customer segments due to our stronger presence across the country. Co-loaning is a new direction for Chola, but we are confident that this will evolve into a very successful partnership model for KVB and Chola soon.
Mr. Natarajan J (President and COO, Karur Vysya Bank) said: “Chola today occupies a unique position in the industry due to its strong customer relationship established over four decades and its dependence on a system. of inherent value. The partnership will help the Bank expand its business customer base and will also provide up-sell and cross-sell opportunities.
Cholamandalam Investment and Finance Company Limited (Chola), was incorporated in 1978 as the financial services arm of the Murugappa Group. Chola started out as an equipment finance company and today has grown into a full-service financial services provider offering vehicle finance, home loans, home loans, SME loans, business advisory services. investment, stock market trading and a variety of other financial services to clients.
Chola operates from 1,135 branches across India with assets under management exceeding INR 75,000 crore.
Chola’s mission is to empower clients into better lives. Chola has a growing customer base of over 16 lakhs of satisfied customers across the country. Since its creation and throughout its growth, the company has kept a clear vision of its values. The basic principle of these values is strict ethics and responsibility to all who come into the business of the company – customers, shareholders, employees and society.
About Karur Vysya Bank:
Karur Vysya Bank (KVB) incorporated in 1916, has 780 branches in 21 states with more than 7 million customers. KVB’s main objective is to meet the financial needs of its customers in all walks of life. KVB’s main strength is to lend to merchants, MSMEs and retail customers who have grown strongly over the century and KVB will continue to build on this strength. KVB’s digital transformation will increase the efficiency of loan underwriting as well as provide various other personalized services.
KVB is developing new business segments through a customer-centric approach to providing needs-based banking solutions. KVB focuses on creating more specialized products and innovative solutions in the areas of retail, SMEs and co-lending. As part of the co-lending space, KVB has formed a partnership with several leading Fintechs and NBFCs to improve last mile connectivity.
KVB has developed a specialized digital solution for the financing of commercial vehicles and construction equipment under a co-loan agreement with Chola
Publication date : 10-03-21