CarDekho.com, India's leading full-stack auto-tech company, has reached a major milestone of Rs 100 cr monthly run rate of used car loans. The company's unique used car loans vertical has facilitated a cumulative volume of around Rs 1,500 crores until December 2019. With this development, the company has become the largest auto fintech platform in India.
By partnering with 10 plus top auto financiers in India and NBFCs the company offers the largest range of loan options for used car buys on one platform. CarDekho has successfully run a digital-first marketplace model which has a unique tech-led approach to drive consumer experience. India has one of the largest used car markets in the world, but loan penetration in used cars is very low in the country; about 15% compared to 70%+ for new cars. CarDekho's used car loan platform has unique tech innovations as well as deep integrations with finance partners and 3rd party service providers for a smooth end-to-end experience for both consumers and used car dealers.
CarDekho's used car loan business has grown 180% in the last 12 months, closing at approx. 107 cr in Dec 2019 crossing 100cr for the first time. This growth has been led by Tier-1 markets, where the company has a significant presence. Company's used car loan business is currently present in top 10 major cities in India and has started expanding into 20 more locations, including all major tier 2/3 cities.
Talking about the development, Amit Jain, CEO & Co-founder, CarDekho.com, said, "Our used car loan business has witnessed a phenomenal growth of 180 % in 2019. Loan discovery and processing is an integral part of our used car ecosystem and hence our mission is to make used car loans as easy to avail as new car loans in India. We are also in the process of getting NBFC license which will help us to further enhance the consumer experience in used car loans through deeper partnerships with partner financiers."
Namit Jain, Business Head - Auto Loans & Dealer Funding, CarDekho.com, said, "We are indeed very excited to reach this milestone in the highly fragmented market of used car loans. Our strategy to focus on reinventing consumer experience is helping us grow rapidly. We have managed to cut down the process turnaround time for overall used car loans to as low as 48 hours today, which used to be 15 days in the industry. Soon we plan to introduce our new innovation called CarDekho InstaLoan - India's fastest used car loan. InstaLoan will completely redefine the consumer experience on used car loans by enabling instant loan payments and car delivery."
Through its digital used car loan platform, CarDekho.com has been able to strengthen the used car buyer ecosystem by enabling customers to discover and buy a trusted used car on easy EMIs.