The Nigeria’s consumer credit market has received a boost with the introduction of Nigeria is phased payment for vehicles that require large sums payments by prospective buyers by Coscharis Motors Limited.
The company, which markets upend motor products, has struck an arrangement with Stanbic IBTC Bank and Access Bank to make vehicular purchase a lot easier for its customers.
The arrangement which comes under a Vehicle Finance Scheme (promo), makes it possible for retail and fleet buyers to purchase their choice vehicles from any Coscharis Motors outlet nationwide and make payment by installments.
The Managing Director of Coscharis Motors, Mr. Josiah Samuel, said the scheme was one of several efforts by the company to help Nigerians buy the cars of their choice from the ranges under the Coscharis franchise.
“The scheme will allow a repayment pattern spread over a period of four years with the option of a repayment percentage ranging from 10 – 30 per cent within the period,” Samuel said.
According to him, the scheme is unique in all ramifications in the nation’s auto market, as it is a first in terms of a multi-brand dealership that provides the market a bouquet of premium and economy auto brands partnering two of the leading banks in Nigeria towards financing a vehicle acquisition scheme.
He said that that the company went into the the collaboration primarily because many Corporate Nigerian workers, including – Small and Medium Scale Enterprises, want new vehicles from Coscharis but have inadequate financial capacity to effect outright payment.
This he said had compelled most of the SMEs to buy fairly used vehicles to run their businesses in order not to drain their working capital with the cost of new vehicles.
The managing director added that the Also, the initiative is driven by the fact that Ccompany’s recourse to banks-enabled scheme of arrangement was because of huge capital outlay and extensive lead time involved in implementing the scheme.
He said that both Access Bank and Stanbic IBTC are well positioned to perform this financing role and have solid history in performaimg this aspect of financial intermediation.
The tenure of the facility, for the first instance, the collaboration will be one year but renewable for a further one year term thereafter or agreed otherwise.
The company projects that the scheme Will generate a 2000 unit sale across all brands.
