The partnership aims to bring innovative loan offers on used cars
Leading auto portal, CarDekho.com has partnered with Hero FinCorp, a leading Non-Banking Financial Company, to bring comprehensive financing options to its used car buyers.
The used car market has been growing faster than new cars and is expected to grow from the current sales of 3 million units to approx. 7-8 million units over the next five years. Unlike new cars, where 70 per cent of cars are bought on loans, finance penetration in used cars is as low as 12-15 per cent. A research done by CarDekho reveals that the biggest pain point for loan takers on used cars is the lack of clarity on loan amount, value of the car as assessed by lenders, followed by higher rates of interest and high processing times.
Hero FinCorp will utilize LoanBox, CarDekho’s proprietary loan management platform, to provide a seamless loan processing experience to potential borrowers on CarDekho platform and its dealer network. Both the companies will work closely to deploy technology and big data to bring innovation and convenience in used car financing experience. Additionally, Hero FinCorp will use CarDekho Trustmark report to assess the valuation of used cars to allow faster processing of loan applications.
Commenting on the same, Amit Jain, CEO, Girnarsoft, stated, “We are excited to partner with Hero FinCorp to provide better financing options to our customers. Given Hero FinCorp’s understanding of Indian consumer credit-worthiness and its processes on Two Wheeler's financing, we are looking forward to creating a better financing solution for used car buyers on our platform. This association will help us achieve our vision of making used car buying as easy as new car buying and help sell used cars on easy EMIs”.
Mirroring the sentiments, Mr. Abhimanyu Munjal, Jt.MD & CEO, Hero FinCorp further added, “Hero FinCorp has established itself as one of the fastest growing NBFCs in a very short span of time with a diversified product portfolio. We aim to become one of the largest financiers in the fast-growing used car segment in coming years. We see digital platforms like CarDekho.com playing a key role in the segment and are excited to partner with CarDekho to grow this market together”
CarDekho Used Car Loan Platform eases the experience for buyers as well as dealers through direct integration with multiple financiers allowing end-to-end digital processing of loan application.