Yes, cars on installment in 2021 took almost 50% for some auto importers. Note, in this case we are talking about loans for individuals. If we take the statistics as a whole, the average indicator for buying new cars on credit is 25 percent.
Depending on the brands and prices of cars, the level of lending also depends. For example, the purchase of expensive cars on credit declined in 2021, while leasing, on the contrary, increased. As for the middle price segment, according to AvtoPortal, based on data collected from dealers and importers, the most popular credit programs (almost half of all transactions) can be divided into two types:
·With low interest rates on the loan (from 0.01% per annum)
·With a loan term of 5 years
Note, in the first case, the down payment can be 50-70%, while in the second option it is from 10 percent. Actually, this explains the popularity of such loans. After all, those who have more than half of the required amount can buy a car on installment for 2-3 years at a minimal interest rate. Those who want to drive a car today, but do not have the opportunity to pay the full amount, prefer a minimal down payment and a long payment term.
As for leasing, almost 80 percent of all vehicles registered by the Ukrainian Leasing Association are passenger cars. In the vast majority, we are talking about the so-called "company" cars for staff and top management of large companies.
TOP-5 most popular cars in leasing
1.Renault
2.Toyota
3.Peugeot
4.Skoda
5.Volkswagen
In terms of commercial and freight vehicles, they account for about 14% of the entire market in total. The growth of the leasing car market in 2021 increased by more than 20%, while for credit cars it was 10 percent. It is worth noting that in 2021, demand for financing the purchase of used cars increased. True, there are no exact figures. But in any case, it remains to state that the pandemic, lockdowns and other troubles directly influenced the fact that Ukrainians began to buy cars on installment more often. Whether it is from a good life or not is a rhetorical question.
