The result of the summer’s EU referendum vote could be a significant opportunity for car finance providers to increase their application and conversion rates, according to a recent analysis report.
With Brexit having no apparent impact on the UK’s used car market loan applications, a recent industry report has shown that the current and as yet undetermined future of Britain’s resident EU nationals could be a great opportunity for online brokers to expand on their short-term car finance offerings.
Further opportunities such as this is welcome news for Creditplus, the UK’s leading online car finance provider. Established for more than 12 years, the company offers a range of finance term lengths, ranging from 12 to 60 months. They also offer a number of finance options, including Personal Contract Purchase and Hire Purchase.
With honest and transparent assistance, customers are able to choose the most suitable car finance deal for their individual needs and circumstances, something which is key to Creditplus’s fair and ethical lending approach. For EU nationals applying for car loans, these vital elements are discovered at the very beginning of their car finance buying journey, as anyone applying to Creditplus for car finance is required to have been resident in the UK for at least three years.
What is perhaps the most vital part of short term lending options for EU nationals is that the broker will need to make any early exit options on their finance agreement as clear as possible. Part of this will include informing relevant customers that their financed car cannot leave the UK for at least 30 days after delivery of it has been taken. For Creditplus, their ethical approach means they always have the well-being and interests of their customers at the forefront of any finance products they provide.
While the focus of the report was on the advantage of offering short term car loans, lenders who have already provided finance agreements for UK based EU nationals will perhaps need to consider reviewing which customers are yet to complete their finance terms. Speaking about the potential effect of this, Creditplus Managing Director Shaun Armstrong commented: “As most lenders use a basic rule of ‘must be UK based for a minimum of three years’ for traceability reasons, this could require more complex rules for consumers who are clearly from other European countries.”
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