UOB puts auto loans in the fast lane

Source: United Overseas Bank

United Overseas Bank (UOB) today launched Singapore’s largest car ecosystem and the fastest fully-digital financing solution for car buyers.

UOB’s digital car financing solution is available at seven dealerships island-wide and via leading mobile and online classifieds marketplace, Carousell. Combined, the eight partners offer 11 car brands and account for almost two-thirds of all cars sold in Singapore.

A major pain point in buying cars, according to research conducted by UOB, is the amount of paperwork and time it takes for a salesperson and customer to complete a car loan application. UOB’s completely-digital car financing solution removes the need for manual form filling, the furnishing of paper documents and long processing times. It cuts the process from an average of three working days to 15 minutes.

Ms Jacquelyn Tan, Head of Personal Financial Services Singapore, UOB, said that the Bank worked with Carousell and car dealerships to transform the car buying journey.

“UOB finances one in four new car sales6 so we understand first-hand from our partners in the automotive industry, and our customers, that they have a need for speed when it comes to car financing approvals. We have brought together Singapore’s largest car ecosystem - including online and brick-and-mortar car dealerships - to design a simpler, smarter and speedier route for car sales agents to help customers apply for loans.”

With UOB’s digital solution, a car dealer only needs to key in three data points for the customer - the applicant’s name, mobile phone number and NRIC number - into a secure and customised online portal. The buyer then logs in using their SingPass to confirm their personal, car and financing details. Upon customer consent, UOB processes the application within minutes. The speedy solution is fueled by Bank’s credit processing engine7, a secure link to MyInfo8 and Credit Bureau Singapore.
For applications made via Carousell, the buyer only needs to click on the ‘Apply for UOB Car Loan’ link to enter their details once they have chosen their car. Once UOB has approved the application, the car dealer calls the buyer to confirm the purchase. This is the first time Carousell customers can have their car loans approved in mere minutes.

As part of the digital service, UOB has also custom-built a loan dashboard for each partner and integrated into the solution each dealership’s own database of car makes and models. Once logged in to UOB’s digital service, each dealer can see the status of all their customers’ UOB car loan applications as well as a listing of the car makes and models. This information is also used to automate the loan application process.
UOB’s ecosystem partners are Cycle & Carriage Singapore, Inchcape Singapore, Motor Image Enterprises, Performance Premium Selection Limited, Premium Automobiles, Tan Chong Motor Sales and Trans Eurokars, and Carousell.

How the solution works
The car loan application process is fully automated. The solution is designed such that the loan application and approval process can be completed within minutes.
* The car dealer opens the online application form, fills and enters the applicant’s name, mobile phone number and NRIC number. For car buyers who shop through Carousell, they open the online application form by clicking on the UOB icon after selecting their car of choice.
* The car buyer logs into MyInfo with his or her SingPass and consents to the use of his/her personal information. This enables the digital application form to be filled in automatically and instantly with details extracted from MyInfo.  Once all fields are auto-filled, the customer then provides a digital approval for the application to be processed. The loan is then processed immediately via UOB’s credit assessment engine. * Applicants are informed of the loan decision within minutes and they can accept the loan digitally at the click of a button.

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