Current expectation of car finance
In 2020, the car finance market will be worth 213 billion US dollars, and it is expected to reach 300 billion US dollars by 2026. The compound annual growth rate in the forecast period (2021-2026) is 6%.get more info from car finance
The coronavirus pandemic is causing chaos and economic difficulties around the world. Factory closures, supply chain disruptions and reduced demand have created a difficult situation for financing companies to survive during the global pandemic. However, as the company provides customers with a simplified and simple online financing environment, the market is expected to grow significantly during the forecast period.
Economic uncertainty forces car buyers to postpone buying new or used cars. Despite the slowdown in car sales, auto lenders will have to adapt to the surge in service activities, such as refinancing and extension of services. Car lenders are using digital tools to speed up service processes remotely.
However, the covid-19 pandemic has increased the growth of online and digital channels for business to consumer purchases. In response to these trends, OEMs and industry participants have begun to virtualize their dealers or agreements and operate remotely. Other factors that drive market growth are the large number of end-users who have invested heavily in the development of autopilot during the forecast period. These investments account for a majority of the market.
In addition, the over investment of autopilot cars and the rapid financing of dealers, banks and credit cooperatives have further promoted the growth of the global auto financing market. The Asia Pacific region is expected to lead the market, followed by North America and Europe. The Asia Pacific region is expected to provide multiple growth opportunities for market suppliers during the forecast period.
The auto financing market is subdivided by type (new and used cars), source type (OEM, bank, credit union and financial institution), use type (loan and lease), vehicle type (passenger and commercial vehicles) and Geography (North America, Europe, Asia Pacific and the rest of the world). The report provides the market size and forecast of the $1 billion auto financing market for all the above segments.