Glossary · Industry vocabulary
Co-lending
Co-lending is an arrangement where two or more lenders fund the same loan in a fixed ratio, sharing risk and return on a per-loan basis.
The model is most prominent in India, where Reserve Bank of India guidelines define how banks and NBFCs can split exposure (commonly 80:20). Operationally it requires per-loan ledger splits, partner-specific MIS, and settlement workflows that reconcile down to the rupee. Lenders running co-lending on a single-tenant LMS spend most of their reporting time in spreadsheets; multi-partner platforms model the partnership as a first-class entity in the data ontology.
See co-lending in the digital lending platform for embedded finance →