ABSA LAUNCHES VEHICLE ASSET FINANCE FOR PURCHASE OF BRAND NEW & USED CARS

Absa Bank Tanzania Head of Retail Banking, Ms. Ndabu Swere (centre), speaks at a media conference during the official launch of Absa’s Vehicle Asset Finance facility in Dar es Salaam. Looking on are, Absa Bank Marketing and Communication Manager, Mr. Beda Biswalo (left), and the Bank’s Head of Asset Products, Ms. Patricia Nguma.

Dar es Salaam, Wednesday, 12 June 2024: Absa Bank Tanzania has once again continued to prove its leadership in product and service innovation with the launch of Vehicle Asset Finance (VAF) as it aims to making car ownership more accessible and affordable for its customers.

Absa Vehicle Asset Finance (VAF) is a medium-term financing solution designed to help the bank’s customers purchase both new and used vehicles at local dealerships without the need to have the full purchase price funds upfront. This solution reflects on the bank’s strategic focus on providing financial solutions that resonate with its customers' lives and aspirations.

Speaking in Dar es Salaam at the launch of Absa VAF, the Head of Retail Banking at Absa Bank Tanzania, Ms. Ndabu Swere, said, “We are extremely excited to launch Vehicle Asset Finance. This is testament to our commitment to listen to our customers and solutioning their challenges and needs. We understand that purchasing a car is not easy because cars are not cheap, and since people are not always liquid, they may need assistance from somewhere and especially when car dealers need upfront payments. So, this is where Absa Vehicle Asset Finance comes in.

Through Absa VAF, our customers will enjoy financing of up to 90% for brand new cars, and up to 80% for used cars with the financed vehicle serving as the collateral. The product offers numerous benefits to our customers, including allowing customers to obtain funds to purchase a vehicle of their choice at the time when they wouldn’t have all the funds upfront. It frees the customer’s cash, leaving them with more flexibility to either invest or use their savings for any unforeseen costs that may come up during the year. It gives the customer instant access to the car as soon as the bank completes the VAF loan process. It reduces the financial burden on the customer by allowing the customer to spread the cost over time with smaller regular payments with the customer only needed to provide a small amount upfront.”

On his part, Mr. Beda Biswalo, the bank’s Marketing and Communications Manager, said “Our Vehicle Asset Finance solution is not only a business strategic addition to our offerings, but it’s also deeply connected with our Brand Promise that says, “Your story matters”. At Absa we care deeply about the stories of our customers and the progress they make in life. We are inspired by our customers’ journeys and want to be part of their scripts, part of the true stories they will tell for years to come when they narrate their success journeys. We believe that when we help our customers attain the things they need to enhance the quality of their lives, we are living our purpose – to empower Africa’s’ tomorrow, together, one story at a time.

On her closing remarks, Ms. Swere thanked all bank customers and called for all Tanzanians to take advantage of this great opportunity, highlighting that the access to the facility is very easy and hassle-free. It starts with a customer identifying a vehicle they are interested in buying from one of our careful selected car dealers, then applying for a VAF facility through our loan officers, we then assess the customer’s application, if the customer qualifies they will be asked to make a downpayment into an Absa account, Absa will make the full payment (downpayment + remaining balance) to the car dealer, the customer will be handed their car to enjoy their new ride.

“Our quick, simple, and affordable application process provides peace of mind to the customer, as we manage every aspect—from identifying reputable car suppliers to ensuring financed vehicles meet high standards through a robust valuation arrangement. We have entered into agreements with reputable vehicle distributors and sellers, who will be the main suppliers of certified used and new vehicles for our customers. We also guarantee end-to-end management, including payment of relevant government taxes, transfer fees, and insurance on behalf of the customer – allowing customers to focus on more pressing matters as they press on writing their next chapter of their success journey.” she concluded.

For further information contact:

Aron Luhanga
Head, Marketing & Corporate Relations
Absa Bank Tanzania Limited
+255 768 221 717
Aron.Luhanga@absa.africa

About Absa Bank Tanzania

Absa Bank Tanzania Limited is one of Tanzania’s leading financial institutions offering an integrated set of products and services across Corporate and Investment Banking, Business Banking with solutions for SMEs, and Retail Banking. Backed by its 21-year legacy in Tanzania and inspired by the people it serves, Absa is committed to finding local solutions to uniquely local challenges and everything we do is focused on bringing possibility to life.

Absa Bank Tanzania is part of Absa Group Limited, one of Africa’s largest diversified financial services groups. Absa Group employees approximately 40, 000 professionals operating in South Africa, Zambia, Botswana, Mozambique, Seychelles, Mauritius, Kenya, Tanzania, Uganda, Ghana. The Group has representative offices in Nigeria, Namibia, London and New York, as well as insurance operations in Botswana, Kenya, Mozambique, South Africa, Tanzania and Zambia. Absa is a truly African brand, inspired by the people we serve and determined to be the financial services Group Africa can be proud of.

For more about Absa Bank Tanzania, its products and services, visit www.absa.co.tz