Kolkata: HDFC Bank, the largest private sector bank in the country, has launched Xpress Car Loans – an end to end car loan facility with digital support for existing customers as well as new customers.
To facilitate quick disbursal of loans, the bank has integrated its lending application with automobile dealers across the country. This first of its type facility is expected to revolutionise the car financing modalities in the country.
The new intervention will help simplify the car purchase process and drive car sales across the country including in the semi urban and rural areas.
“HDFC Bank has been a pioneer in digital innovations,” said Arvind Kapil – Country Head, Retail Assets, HDFC Bank.
“Now we are stepping up by launching end-to-end digital car loan solution for existing as well as new customers. Xpress Car Loans will be a defining automotive lending journey for the sector. It will be available across all our branches, dealerships and eventually on third-party aggregator platforms,” said Kapil.
While the automotive ecosystem has evolved, there is still a significant opportunity to unlock value for customers – particularly in semi-urban and rural India by transforming the customer experience, the bank official said.
To begin with, HDFC Bank hopes that 20% to 30% of customers (for loans up to 20 Lakh) will avail of this facility.
This facility is at present being offered for four wheelers and will be gradually rolled out to two-wheeler also. The Indian automotive industry is poised to become the third largest in the world in the next 5-7 years with 35 million new vehicle units per year of sales.
In about a decade, this is estimated to result in over 350 million 4-wheelers and over 250 million 2-wheelers, hitting the road. HDFC Bank has continuously been innovating and has many industry firsts in the retail lending space, like the 10 second personal loan, and the digital loans against securities/mutual funds, among others.
