12:55, 23 December 2021 Page views 391 views

Home Credit Bank Closes its first deal under Chinese WeBank’s model

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The first deal was concluded with UBRD on selling a portion of the loan portfolio with the sold loans to be further serviced by Home Credit.

High-quality borrowers, verified by the scoring models of Home Credit Bank formed the subject of the deal concluded as part of the new business line.

“We recently announced the launch of selling loans issued by our bank, under the China-based WeBank model. The deal with UBRD was the first step in the implementation of that business area,” commented Dmitry Peshnev-Podolsky, Board Chairman, Home Credit Bank.

The banker noted that the present capacity of the bank's “loan conveyor” allows the current loan volume to be tripled. “Therefore, the launch of a model under which we issue high-quality loans and transfer them to a partner bank is a logical development of our business,” stressed the Home Credit Bank Board Chairman.

All clients whose agreements were included in the deal will be further served at Home Credit Bank and will continue to enjoy all the benefits of the service infrastructure available to our bank's clients, including the mobile application, call center, and branch network.

Home Credit Bank plans to make the sale of loan portfolios a regular practice, which will further increase the volume of loans. “The WeBank model allows the buying banks to build up a base of high-quality borrowers without spending resources on engaging them, as well as on loans issuing and servicing,” concluded Dmitry Peshnev-Podolsky.