Car Finance Global Market Report 2024

Description

Car finance encompasses methods and options for funding the purchase or lease of a vehicle, including auto loans, leasing, and dealer financing. It includes various arrangements such as personal loans, hire purchase, and secured loans, each with its own terms and conditions.

The main types of car finance are loans, leases, and other options. Car loans involve a lender providing funds to a borrower for buying a vehicle, which is then repaid with interest over a set period, typically through monthly installments. Vehicles can be categorized as new or used. Distribution channels for car finance include banks, original equipment manufacturers (OEMs), credit unions, and other entities. Car finance applications are available for both personal and commercial use.

The car finance market research report is one of a series of new reports from the business research company that provides car finance market statistics, including car finance industry global market size, regional shares, competitors with an car finance market share, detailed car finance market segments, market trends and opportunities, and any further data you may need to thrive in the car finance industry. This car finance market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The car finance market size has grown strongly in recent years. It will grow from $276.55 billion in 2023 to $298.38 billion in 2024 at a compound annual growth rate (CAGR) of 7.9%. The growth during the historic period can be attributed to factors such as regulatory changes, economic conditions, increased vehicle affordability, shifts in preferences towards vehicle ownership, and rising urbanization.

The car finance market size is expected to see strong growth in the next few years. It will grow to $406.25 billion in 2028 at a compound annual growth rate (CAGR) of 8%. The growth during the forecast period can be attributed to shifts in consumer preferences, environmental regulations, demographic trends, global economic conditions, and the adoption of electric vehicles. Major trends expected during this period include digital transformation, the integration of AI, the use of digital platforms, the application of machine learning, and the development of personalized financing solutions.

The rise in vehicle prices is anticipated to drive growth in the car finance market. The increase in vehicle prices is influenced by the costs of raw materials such as steel, aluminum, and rare earth metals used in vehicle production. Additionally, general inflation impacts the cost of goods and services, including those related to automotive manufacturing and logistics, leading to higher vehicle prices. Car finance helps consumers manage these rising costs by allowing them to spread payments over time through loans or leasing options. For instance, JP Morgan reported in January 2023 that U.S. consumers spent an average of $46,437 on new automobiles, a 4.2% increase from the previous year. Thus, higher vehicle prices are expected to drive the growth of the car finance market.

Leading companies in the car finance market are increasingly adopting online and digital platforms to streamline the loan application process and enhance customer experience. Online car finance platforms provide a digital interface for consumers to apply for and manage car loans or leases, making the financing process more efficient. For example, in March 2022, MG Motor India, in collaboration with ICICI Bank, HDFC Bank, Kotak Mahindra Prime, and Axis Bank, launched MG e-Pay, an online car finance platform. This service allows customers to easily obtain flexible and transparent loan approvals from home. The process involves selecting a car and dealership, completing a booking form, making an initial payment, and applying for a pre-approved loan online. Once the loan is approved, customers finalize the down payment, and the loan is disbursed to the dealership, facilitating a smooth vehicle delivery to their home.

In June 2023, Mitsubishi UFJ Financial Group, a Japan-based financial services company, acquired Mandala Finance for an undisclosed amount. This acquisition aims to strengthen Mitsubishi UFJ Financial Group's presence in Southeast Asia and enhance its consumer finance capabilities by integrating Mandala Finance's local expertise and customer base with Mitsubishi UFJ Financial Group's global financial strength and innovative services. Mandala Finance, based in Indonesia, specializes in car finance.

Major companies operating in the car finance market are Ford Motor Credit Company LLC, JPMorgan Chase Bank, Bank of America, Wells Fargo Auto, Volkswagen Financial Services AG, BNP Paribas S.A., Capital One Bank, PACCAR Financial Corp., The Bank of Nova Scotia (Scotiabank), General Motors Financial Company Inc., Ally Bank (Ally Financial), Fifth Third Bank, Citizens Financial Group Inc., Santander Consumer USA Holdings Inc., BBVA USA (BBVA), KeyBank National Association (KeyBank), Hyundai Motor Finance Company, Toyota Financial Services, American Honda Finance Corporation (Honda Financial Services), TD Auto Finance LLC, Chrysler Capital, Mercedes-Benz Financial Services USA LLC, Nissan Motor Acceptance Corporation (Nissan Motor Acceptance Company LLC), The Huntington National Bank (Huntington Financial), BMW Financial Services LLC

North America was the largest region in the car finance market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the car finance market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the car finance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The car finance market includes revenues earned by entities through refinancing, personal contract purchases, dealer financing, extended warranties, and credit insurance. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Car Finance Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses on car finance market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

Reasons to Purchase

Gain a truly global perspective with the most comprehensive report available on this market covering 50+ geographies.
Understand how the market has been affected by the COVID-19 and how it is responding as the impact of the virus abates.
Assess the Russia - Ukraine war's impact on agriculture, energy and mineral commodity supply and its direct and indirect impact on the market.
Measure the impact of high global inflation on market growth.
Create regional and country strategies on the basis of local data and analysis.
Identify growth segments for investment.
Outperform competitors using forecast data and the drivers and trends shaping the market.
Understand customers based on the latest market shares.
Benchmark performance against key competitors.
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Report will be updated with the latest data and delivered to you within 3-5 working days of order along with an Excel data sheet for easy data extraction and analysis.
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Where is the largest and fastest growing market for car finance ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The car finance market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

The market characteristics section of the report defines and explains the market.
The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
The forecasts are made after considering the major factors currently impacting the market. These include:

The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.

The impact of higher inflation in many countries and the resulting spike in interest rates.

The continued but declining impact of COVID-19 on supply chains and consumption patterns.

Market segmentations break down the market into sub markets.
The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.

Scope

Markets Covered:1) By Type: Loans; Leases; Other Types
2) By Vehicle Age: New Vehicle; Used Vehicle
3) By Distribution Channel: Banks; Original Equipment Manufacturer (OEMs); Credit Unions; Other Distribution Channels
4) By Application: Personal; Commercial
Companies Mentioned: Ford Motor Credit Company LLC; JPMorgan Chase Bank; Bank of America; Wells Fargo Auto; Volkswagen Financial Services AG
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time series: Five years historic and ten years forecast.
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
Data segmentations: country and regional historic and forecast data, market share of competitors, market segments.
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
Delivery format: PDF, Word and Excel Data Dashboard.

Product Code: r19594

1. Executive Summary

2. Car Finance Market Characteristics

3. Car Finance Market Trends And Strategies

4. Car Finance Market - Macro Economic Scenario

4.1. Impact Of High Inflation On The Market
4.2. Ukraine-Russia War Impact On The Market
4.3. COVID-19 Impact On The Market

5. Global Car Finance Market Size and Growth

5.1. Global Car Finance Market Drivers and Restraints
- 5.1.1. Drivers Of The Market
- 5.1.2. Restraints Of The Market
5.2. Global Car Finance Historic Market Size and Growth, 2018 - 2023, Value ($ Billion)
5.3. Global Car Finance Forecast Market Size and Growth, 2023 - 2028, 2033F, Value ($ Billion)

6. Car Finance Market Segmentation

6.1. Global Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
Loans
Leases
Other Types
6.2. Global Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
New Vehicle
Used Vehicle
6.3. Global Car Finance Market, Segmentation By Distribution Channel, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
Banks
Original Equipment Manufacturer (OEMs)
Credit Unions
Other Distribution Channels
6.4. Global Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
Personal
Commercial

7. Car Finance Market Regional And Country Analysis

7.1. Global Car Finance Market, Split By Region, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
7.2. Global Car Finance Market, Split By Country, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

8. Asia-Pacific Car Finance Market

8.1. Asia-Pacific Car Finance Market Overview
Region Information, Impact Of COVID-19, Market Information, Background Information, Government Initiatives, Regulations, Regulatory Bodies, Major Associations, Taxes Levied, Corporate Tax Structure, Investments, Major Companies
8.2. Asia-Pacific Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
8.3. Asia-Pacific Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
8.4. Asia-Pacific Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

9. China Car Finance Market

9.1. China Car Finance Market Overview
9.2. China Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F,$ Billion
9.3. China Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F,$ Billion
9.4. China Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F,$ Billion

10. India Car Finance Market

10.1. India Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
10.2. India Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
10.3. India Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

11. Japan Car Finance Market

11.1. Japan Car Finance Market Overview
11.2. Japan Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
11.3. Japan Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
11.4. Japan Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

12. Australia Car Finance Market

12.1. Australia Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
12.2. Australia Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
12.3. Australia Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

13. Indonesia Car Finance Market

13.1. Indonesia Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
13.2. Indonesia Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
13.3. Indonesia Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

14. South Korea Car Finance Market

14.1. South Korea Car Finance Market Overview
14.2. South Korea Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
14.3. South Korea Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
14.4. South Korea Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

15. Western Europe Car Finance Market

15.1. Western Europe Car Finance Market Overview
15.2. Western Europe Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
15.3. Western Europe Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
15.4. Western Europe Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

16. UK Car Finance Market

16.1. UK Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
16.2. UK Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
16.3. UK Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

17. Germany Car Finance Market

17.1. Germany Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
17.2. Germany Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
17.3. Germany Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

18. France Car Finance Market

18.1. France Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
18.2. France Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
18.3. France Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

19. Italy Car Finance Market

19.1. Italy Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
19.2. Italy Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
19.3. Italy Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

20. Spain Car Finance Market

20.1. Spain Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
20.2. Spain Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
20.3. Spain Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

21. Eastern Europe Car Finance Market

21.1. Eastern Europe Car Finance Market Overview
21.2. Eastern Europe Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
21.3. Eastern Europe Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
21.4. Eastern Europe Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

22. Russia Car Finance Market

22.1. Russia Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
22.2. Russia Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
22.3. Russia Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

23. North America Car Finance Market

23.1. North America Car Finance Market Overview
23.2. North America Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
23.3. North America Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
23.4. North America Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

24. USA Car Finance Market

24.1. USA Car Finance Market Overview
24.2. USA Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
24.3. USA Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
24.4. USA Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

25. Canada Car Finance Market

25.1. Canada Car Finance Market Overview
25.2. Canada Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
25.3. Canada Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
25.4. Canada Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

26. South America Car Finance Market

26.1. South America Car Finance Market Overview
26.2. South America Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
26.3. South America Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
26.4. South America Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

27. Brazil Car Finance Market

27.1. Brazil Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
27.2. Brazil Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
27.3. Brazil Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

28. Middle East Car Finance Market

28.1. Middle East Car Finance Market Overview
28.2. Middle East Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
28.3. Middle East Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
28.4. Middle East Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

29. Africa Car Finance Market

29.1. Africa Car Finance Market Overview
29.2. Africa Car Finance Market, Segmentation By Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
29.3. Africa Car Finance Market, Segmentation By Vehicle Age, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
29.4. Africa Car Finance Market, Segmentation By Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion

30. Car Finance Market Competitive Landscape And Company Profiles

30.1. Car Finance Market Competitive Landscape
30.2. Car Finance Market Company Profiles
- 30.2.1. Ford Motor Credit Company LLC
  - 30.2.1.1. Overview
  - 30.2.1.2. Products and Services
  - 30.2.1.3. Strategy
  - 30.2.1.4. Financial Performance
- 30.2.2. JPMorgan Chase Bank
  - 30.2.2.1. Overview
  - 30.2.2.2. Products and Services
  - 30.2.2.3. Strategy
  - 30.2.2.4. Financial Performance
- 30.2.3. Bank of America
  - 30.2.3.1. Overview
  - 30.2.3.2. Products and Services
  - 30.2.3.3. Strategy
  - 30.2.3.4. Financial Performance
- 30.2.4. Wells Fargo Auto
  - 30.2.4.1. Overview
  - 30.2.4.2. Products and Services
  - 30.2.4.3. Strategy
  - 30.2.4.4. Financial Performance
- 30.2.5. Volkswagen Financial Services AG
  - 30.2.5.1. Overview
  - 30.2.5.2. Products and Services
  - 30.2.5.3. Strategy
  - 30.2.5.4. Financial Performance

31. Car Finance Market Other Major And Innovative Companies

31.1. BNP Paribas S.A.
31.2. Capital One Bank
31.3. PACCAR Financial Corp.
31.4. The Bank of Nova Scotia (Scotiabank)
31.5. General Motors Financial Company Inc.
31.6. Ally Bank (Ally Financial)
31.7. Fifth Third Bank
31.8. Citizens Financial Group Inc.
31.9. Santander Consumer USA Holdings Inc.
31.10. BBVA USA (BBVA)
31.11. KeyBank National Association (KeyBank)
31.12. Hyundai Motor Finance Company
31.13. Toyota Financial Services
31.14. American Honda Finance Corporation (Honda Financial Services)
31.15. TD Auto Finance LLC

32. Global Car Finance Market Competitive Benchmarking

33. Global Car Finance Market Competitive Dashboard

34. Key Mergers And Acquisitions In The Car Finance Market

35. Car Finance Market Future Outlook and Potential Analysis

35.1 Car Finance Market In 2028 - Countries Offering Most New Opportunities
35.2 Car Finance Market In 2028 - Segments Offering Most New Opportunities
35.3 Car Finance Market In 2028 - Growth Strategies
- 35.3.1 Market Trend Based Strategies
- 35.3.2 Competitor Strategies

36. Appendix

36.1. Abbreviations
36.2. Currencies
36.3. Historic And Forecast Inflation Rates
36.4. Research Inquiries
36.5. The Business Research Company
36.6. Copyright And Disclaimer