Home Loans Made More Affordable by Wizard

GE Money’s Wizard is chalking out a novel strategy based on a wealth-sharing plan to garner the huge home loan market in India through owner-operator branches, competitive pricing and customer oriented mortgage products.

Through a network of neighbourhood branches run by ‘owner-operators’, Wizard Home Loan products will be accessible to customers. The owner-operators would be trained by Wizard to disburse its products maintaining its standards of customer service.

Wizard’s strategy involves paying a monthly trail commission to its owner operators till the customer carries the loan, which could be as much as 20 years. This would give the owner-operators an incentive for maintaining a high level of service to its clients.

India’s home loan market has been growing at a compounded annual growth rate of 30%, and GE-Wizard with its unbeatable 9.99% rate appears to have an edge over other housing finance companies in India.

Several banks have taken the initiative to make home loans more affordable.
HDFC, Axis Bank, ICICI and Kotak Mahindra reduced their lending rates by
50 basis points on floating loans over the last week, as have a few nationalized
banks.