Albany, NY -- (SBWire) -- 05/08/2018 --The car financing market is expanding at a rapid pace due to improved credit collection, effective online portals, and recovery of the auto sector post the financial crisis.

Consumer aspiration for car ownership is the major driver of the car financing market. Lucrative zero down payment schemes and low interest EMIs have prompted the young population with less capital to avail of car facilities. The rise in demand for vehicles has made car financing a core activity for financial players. The emergence of non-banking financial companies (NBFC) has expanded the car financing market. NBFCs have less stringent loan eligibility criteria and offer flexible finance tenure, thus gaining customer interest. The expansion in the car financing market is driven by improving macroeconomics and rise in first time buyers. Digital underwriting is trending in the car financing market as it deploys instant loans with less consumption. The car financiers have resorted to effective risk management and aggressive sales strategies to stay competitive in the business. The fleeting service and car sharing have added more portfolios to the car financing market.

Get PDF Sample of This Report @ https://www.transparencymarketresearch.com/sample/sample.php?flag=B&rep_id=42185

Product differentiation and subvention based schemes are estimated to enhance the value proposition for customers and thus fuel the car financing market. Leveraging dealer channels and walk-ins also promote car financing. Affordable financing options, high loan-to-value ratio, and flexible repayment are the demanding virtues of the car financing market. Consumer preference to have a lower vehicle cycle and switch to newer models boosts new car sales and renews car financing options. Buyback options and OEM warranty schemes are expected to refine the car financing option, thus gaining customer interest.

The lack of consumer credit history and loan defaulters are challenges for the car financing market.

The global car financing market can be segmented based on service provider, sale network, vehicle, tenure, and region.

Based on service provider, the car financing market can be categorized into three categories. Banks and non-banking financial companies are the major contributors to the car financing market.

In terms of sales network, the car financing market is classified under dealership walk in's and direct finance approach. The dealership walk ?€"in's are the strong sales network where in the customer approaches the vehicle dealer and the dealer then arranges the finance through OEM or other banking network.

Get ToC of This Report @ https://www.transparencymarketresearch.com/sample/sample.php?flag=T&rep_id=42185

In terms of vehicle, the car financing market can be divided into passenger vehicles and commercial vehicles. Rising passenger vehicle sales are expected to propel the car financing market. Corporate customers prefer to purchase commercial vehicles through credit finance as it reserves market capital.

Based on tenure, the car financing market can be classified into long term and short term.

In terms of region, the car financing market can be categorized into North America, Asia Pacific, Europe, Latin America, and Middle East & Africa. Developing countries with less household capital have high demand for car financing. Car credit finance has higher market penetration in the developing region. The change in consumer mindset regarding vehicle ownership has resulted in expansion of the car leasing segment. The car financing market in Asia Pacific is expected to expand at a rapid pace due to increased vehicle sales.

View Our Report @ https://www.transparencymarketresearch.com/car-financing-market.html

Key players operating in the car financing are Toyota Financial Services, Hitachi Capital Asia Pacific, VTB Bank OJSC, Volkswagen Financial Services, General Motor Financial Company, Bank of America, Ford Motor Credit, Citibank, and HDFC Bank.