Car boom boosts loan market

By The Nation

 

 

Amid the fast-growing auto market during 1H18, KLeasing’s dealer floorplan loans grew more than 32 per cent, with its outstanding loans topping Bt100 billion.

 

Prioritising digital platform development along with ongoing sales promotions, the company plans to aggressively market K-Auto Finance (Refinance) in order to meet its target of Bt90 billion of loan extension by year-end.

 

Sasawat Virapriya, KLeasing executive chairman, remarked upon the healthy growth of the Thai domestic car market, buoyed by brighter economic growth, and the launch of new car models through attractive sales promotional campaigns and marketing activities by car manufacturers. 

 

Such factors have led to higher new car sales, as reflected in the growth of auto hire purchase during the first half of 2018 by 12.4 per cent, over-year. 

 

KLeasing’s total loans during the first half of this year reached Bt49.17 billion, comprising new hire purchase, leasing and car registration loans of Bt19.98 billion, rising 7 per cent YoY, and dealer floorplan loans of Bt29.19 billion, rising 32 per cent YoY. 

 

With outstanding loans growing 8 per cent YoY to Bt100 billion, and NPLs of 1.42 per cent, KLeasing’s profit surged 18.5 per cent YoY, to Bt683 million.

 

For the final quarter of 2018, KLeasing will join forces with its car dealer partners in offering products that continue to meet the needs of our customers, as well as introducing a new K- Auto Finance (New Car) campaign during the Thailand International Motor Expo, scheduled for the end of 2018. 

 

We have also mapped out plans to increase the efficiency of our risk management so as to expand the quality loan base while fully focusing on marketing our K-Auto Finance (Refinance) via KBank branches nationwide and digital platform. 

 

Given this, KLeasing will likely be ready to accommodate the rapidly growing number of our customers in an efficient manner, as well as assisting them in conducting all transactions related to auto financing with ease. 

 

These coupled with KLeasing’s capacity in precisely analysing customer behaviour through Data Analytics will enable us to offer auto-finance via online channels to the right customers.

 

Source: http://www.nationmultimedia.com/detail/breakingnews/30354412

 

-- © Copyright The Nation 2018-9-13

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15 hours ago, snoop1130 said:

Car boom boosts loan market

Car boom fuels bank and family household debt

And some wonder why there is so much traffic on the roads !

Have to keep the old Economy trundling  along somehow,  even if it means an even more debt burden on people that have little or no way to pay it all back.

I wonder what the true NPL figures will be in 12 months time.

Thailands debt clock:

 

https://www.nationaldebtclocks.org/debtclock/thailand