Zopa looks to grow secured car finance offering
ZOPA is readying to launch its secured car finance product as a direct offer on its website, as it looks to expand this segment of the business.
The world’s oldest peer-to-peer lender has offered car finance as part of its unsecured personal loan service since launching in 2005.
It entered the secured car finance space in December 2017, offering a hire purchase product purely via brokers. It widened its distribution to comparison sites such as Confused.com and ClearScore in November 2018, and it will soon be available as a direct offer on Zopa’s website and on dealers’ showrooms and websites.
“Historically, a third of our personal loans have been used to purchase a car,” a Zopa spokesperson told Peer2Peer Finance News via email.
“After announcing our ambitions to launch a bank back in 2016, we also looked at other industries and saw how dissatisfied customers were when applying for a car finance deal. Currently, a lot of the market seems to be focused on servicing the dealers.
“We want to put the customer back at the centre of the industry, give them a great customer experience that they deserve and make it possible for customers to choose whatever channel they want to make sure they are picking the best deal that suits them.”
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Zopa’s technology determines an applicant’s eligibility for finance in less than eight seconds before offering customised services and solutions on a pre-approval basis.
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