IBH and ICCL will originate loans as per credit policy jointly drawn up with Central Bank of India. These loans will then be securitised to Central Bank of India on back-to-back basis in line with the provisions of RBI's Co-Lending Model. IBH/ ICCL will retain 20% of the loan on their books while 80% will be on Central Bank of India's books. IBH/ ICCL will service the loan account throughout the life cycle of the loan.

Co-lending tie-up with Central Bank of India will be a key partnership in IBH's new balance-sheet light growth business model. Moreover, technology led co-lending will help IBH offer convenient and seamless experience to its customers as well as help expand its reach to Tier III and IV towns of the country apart from strengthening its foothold in Tier I and Tier II towns.