Used car dealers want financing is not an easy task

Netease technology news July 21 news, Netease Technology recently learned that China Ping An Group's second-hand car e-commerce platform "safe car" to be invested 5 billion yuan, designed for the platform of used car dealers to provide unsecured, unsecured Dealers financing products, "safe car dealers loan", the loan period of 30 days, 1.8% monthly interest rate, the maximum loan amount of 300 million, is expected to be covered within three years ten thousand used car dealers.

Prior to this, used car dealers want to finance is not an easy task.

Usually loans to buy a new car, because the dealer's vehicle certification can be used as a risk guarantee in the bank, generally have low interest or even zero interest discount. Second-hand car trading is different, many of the lack of vehicle certification, and financial services companies are not familiar with the vehicle performance, apply for loans difficult, both banks and guarantee agencies, are not easy to lend money to used car dealers. Second-hand car dealers are often trapped by money because they can not change hands in time.

As for the wholesale loans of dealers (such as inventory financing), the banks have not integrated used car dealerships as ordinary small and medium-sized enterprises, so it is difficult to obtain loan financing backed by vehicles for sale. Although there are flexible and convenient folk lending advantages, but there are high interest rates, high-risk factors, resulting in many dealers can not easily through private lending in the form of financing.

Ping An Car Loan combines the advantages of the "Safe Car" O2O platform and utilizes Ping An Group's huge data and financial advantages to point out a new direction for the financing of used car dealers.

According to the introduction of a good car, the current market, most of the auto finance companies are mostly some of the auto companies launched their own business, are often more for the new car business. Compared with mature markets in Europe and America, used car trading is about 20% of car ownership, and the ratio of new car sales is about 2 ~ 2.5: 1. The current trading volume of used cars in China is only about a quarter of that of new cars. This largely reflects the Chinese second-hand car market in the future still have greater growth potential.

In recent years, used car finance has been regarded by the industry as the best breakthrough in auto financing. Compared with other financing instruments on the market, Safe Car Loan relies on Ping An Group to effectively control risks. (Sun Hongchao)