With the continuous improvement of automobile production and sales in China, the financial penetration rate of automobile is gradually improved, but the development scale and speed of automobile finance industry Sensor are still subject to multiple factors. Although the car finance 'profitable', but the size of funds and capital costs are still restricting Yi Xin Group to expand the car finance to one of the reasons for car transactions.
In order to 'get rid of' the development of the industry restrictions, to further expand the scope of business, enhance the company's profitability, Yi Xin Group launched a strategic platform for ecological development. China's auto market is a large annual trading volume of more than 25 million large-scale market, the major auto finance companies have independent living conditions and development space. As the size of the fund, the industry trend and many other restrictions, auto finance companies in order to simply rely on traditional financial services in the competition to win can be described as difficult. Therefore, Yi Xin Group hopes to establish a new ecological development platform will be the new car transactions, second-hand car transactions Fuel Rail Pressure Sensor and car services and other processes to create a line-line closed-line transactions, and hope that the process of business expansion of cash transactions into financial transactions, To increase profitability. In order to achieve this goal, Yi Xin Group launched the 'open it', 'new car loans' and 'car loan' and other related business.
In view of the transformation of auto finance companies, in addition to car manufacturers dominate the loan car model, is still 'money to make money' light asset loan business the most profitable. But the high financial interest rates make it difficult for most consumers to accept, the auto finance industry's innovation business ended in failure. For the development Temperature Sensor of auto finance business, automobile finance can be described as one of the highest profit margins in the automobile industry chain, and the profit rate of the vehicle enterprises is as high as 30% ~ 50%. But its current development is the lack of credit system imperfect system and the user needs to cultivate the market. Domestic consumers and foreign consumers of different ways of consumption, car finance company's capital borrowing costs are relatively high, the domestic auto market is not mature enough and the credit system is not sound and other characteristics have increased the risk of auto finance.
In this regard, the car circulation Association Deputy Secretary-General Luo Lei also said that the cause of China's auto finance business slow development mainly includes two aspects: First, people's consumption habits are relatively conservative, a considerable part ABS Sensor of the crowd is still accustomed to full payment, do not like to pass Credit business to spend the future money; the other is the national credit system is not perfect, the loan mortgage review process is relatively long, in the process of loan consumption users poor consumer experience.
To the commercial banks as the representative of the auto financial practitioners still have their own competitive advantage. Compared to auto finance companies focused on the automotive sector, the cost of commercial banks is the lowest, with its strong financial strength and long-term accumulation of credit experience and user resource advantages are more obvious. Subject to higher capital costs, limited asset size and other factors, the automotive finance companies in the inventory financing business is often inadequate. Judging from the current market competition pattern, commercial banks still occupy Throttle Position Sensor the dominance of China's auto financial market. Domestic Internet Automotive financial market is broad, but limited by the cost of capital, service capacity and other factors, the major auto financial practitioners more difficult to use interest rates, down payment ratio and other means to control customer risk.