Question

Which bank has signed pact with India Mortgage Guarantee Corporation (IMCG) to offer mortgage guarantee backed home loan? [March 2018]

• A. State Bank of India
• B. Bank of India
• C. Dena Bank
• D. ICICI Bank

Answer 1

The correct option is A State Bank of India

The State Bank of India (SBI) has recently signed a pact with India Mortgage Guarantee Corporation (IMGC) to offer mortgage guarantee scheme for prospective non-salaried and self-employed home loan customers. The offering will help increase home loan eligibility up to $15\%$ within the regulatory norms. The MoU between SBI and IMGC is a strategic initiative which will enable to improve housing loan volumes in the non-salaried segment. Under this product, applicant can avail higher finance based on risk grade of the borrower, by opting for IMGC default guarantee cover. IMGC is a joint venture between National Housing Bank, Genworth Inc International Finance Corporation and Asian Development Bank. It is providing mortgage default guarantee to the lending Institutions in India.