BOC’s 14-Day Housing Loan Is Reshaping Homeownership

Ajith Karunarathne (Deputy General Manager-Branch Credit Operations Range I) on the 14 days housing loan process initiative launched by BOC

As Sri Lanka continues to face evolving financial challenges, the dream of owning a home remains one of the most important life goals for many citizens. However, for many aspiring homeowners, the road to securing a housing loan is filled with hurdles, from documentation delays to long approval periods and affordability concerns.

In 2024, to mark its 85th anniversary, the Bank of Ceylon introduced a game-changing solution: the housing loan within 14 working days. The initiative was designed to streamline the loan process, making it faster, simpler, and more accessible for a wide range of borrowers.

We spoke with Mr. Ajith Karunarathne, Deputy General Manager (Branch Credit Operations – Range I) at Bank of Ceylon, to find out how the product has evolved one year later, and why the bank continues to see it as a key part of its public service mandate.

Last year, as part of BOC’s 85th anniversary, the bank introduced the 14-day housing loan. Can you tell us how the initiative has progressed since then?

The housing loan within 14 working days was introduced to provide a more efficient and supportive experience to anyone looking to secure a home loan. Over the past year, the response from customers has been very encouraging. Many applicants have shared that this process gave them the confidence to go ahead with their homeownership plans, something they may have postponed otherwise due to uncertainty and long waiting periods.

We wanted to mark the 85th anniversary by doing something that had real, lasting impact. Homeownership is deeply meaningful for Sri Lankans, and we felt this initiative aligned well with the Bank of Ceylon’s role as a national bank that listens and responds to the needs of the people.

What makes this loan process different from others in the market?

The core difference lies in the structure and the turnaround time. Once a customer submits a completed application with all the required documentation, we commit to disbursing the loan within 14 working days. That includes credit assessment, legal checks, and property valuation, all within that window.

This was made possible by setting up 16 dedicated Regional Loan Centers across the country. Each center has officers who focus exclusively on housing loans. We’ve also stationed legal officers and valuation professionals with these centers, so the customer doesn’t have to run from place to place. Everything is handled in-house, which makes a huge difference in cutting down delays.

Is the 14-working day timeline still consistently met?

Yes, as long as the application is complete when submitted. That’s something we always advise customers on, to make sure the documentation is in order. Our teams are trained to provide that guidance at the outset, so applicants know what is needed from them. Once that’s done, the process moves forward quickly.

The key is that we’ve removed the common bottlenecks by assigning the right people at the right stages. That allows us to honour the 14-working day commitment and make the loan process far less intimidating.

Who is eligible for this loan, and what are the typical uses?

The eligibility criteria are simple. Any Sri Lankan citizen over the age of 18 can apply. Joint applications are also accepted, especially from close family members. We assess the financial stability of the applicant to ensure both the customer and the bank are protected. That step is essential, but we keep the process transparent and reasonable.

The loan can be used to purchase land, buy or build a new home, or even to renovate or extend an existing property. It’s a flexible facility that can support different stages of the homeownership journey.

What about Sri Lankans living overseas? Are they able to apply as well?

Yes, Sri Lankans residing abroad are eligible to apply. We’ve seen growing interest from overseas customers who want to invest in property back home, either for themselves or for their families. The same streamlined process applies to them as well, and our staff is ready to assist with any special requirements they might have.

What were the internal drivers behind the launch of this fast-track loan system?

The idea came from within the organisation. We held extensive discussions with our professional teams about how to improve the loan disbursement experience for customers. Everyone agreed that the process was taking too long in the past, not because of lack of effort, but because the systems weren’t designed for speed.

So we invested in better infrastructure, dedicated staff, and tighter coordination between departments. We also listened to customer feedback over the years. That helped us design a process that is both practical and sensitive to the time pressures our customers face.

Beyond speed, what else do customers gain from this housing loan?

They gain confidence. Buying a home is not a causal decision. People need reassurance that their financing is secure and that they won’t be kept waiting indefinitely. This loan gives them that clarity.

In terms of features, we offer competitive interest rates starting from 10% p.a. based on the applicant’s income and repayment capacity. The structure of the loan is tailored to fit different income groups, so borrowers aren’t forced into one-size-fits-all terms.

You mentioned last year that the loan process was part of a bigger plan to align with national economic goals. Does that still hold true?

Absolutely. Housing and real estate development contribute significantly to national growth. A well-functioning housing loan system helps create ripple effects in related industries, construction, legal services, furniture, utilities, and so on. It also empowers individuals to take charge of their financial future.

The Bank of Ceylon sees this product not only as a banking service but as a national contribution. In the long run, helping more people become homeowners supports economic resilience, local investment, and community stability.

Why should customers choose Bank of Ceylon over other lenders?

BOC has a legacy of over 85 years in this country. Our customers know that we are stable, secure, and committed to serving every segment of society. We’re not just here to offer products, we’re here to build long-term relationships and support people in moments that truly matter.

This housing loan is part of that philosophy. It reflects our belief that every Sri Lankan, regardless of background or income level, should be able to access fair and timely financial support when they decide to invest in a home.

Looking ahead, do you plan to expand or enhance the 14-day loan system further?

We’re always reviewing our processes to see where we can improve. Technology is something we are exploring more deeply, for applying a housing loan through online. We also want to strengthen our pre-application support, so that more customers feel confident about approaching us early in their journey.

The goal is to keep simplifying the process without compromising on quality or security. If we can do that, then we believe this housing loan will continue to serve as a model for customer-focused banking.

Finally, what would you say to someone who has been putting off applying for a housing loan because of the usual fears and delays?

I would say, don’t wait. walk into nearest BOC branch, talk to our officers. You’ll find that the process is not as complicated as it used to be. We’ve worked hard to make it accessible and straightforward.

Everyone deserves a chance to own a home. With the right support, it’s possible to turn that dream into something real, and we’re here to help make that happen.