ttb launches credit score-based car-for-cash loans

Prachachat•Economy•8d ago

Reader Briefing

ttb introduces a car-for-cash loan product that determines interest rates based on NCB credit scores rather than vehicle age.

•ttb's new car-for-cash loan offers starting interest rates of 11.11% per annum for customers with AA credit scores.
•ttb targets 5 billion baht in total lending for 14,000-15,000 customers between August and December.
•The product uses Risk-Based Pricing via National Credit Bureau (NCB) scores to reward customers with good payment histories.

Overview

•ttb launched the 'Car-for-Cash Loan' which uses credit scores to determine interest rates starting at 11.11% per annum.
•ttb targets 1 billion baht in lending per month from August to December, totaling 5 billion baht for 14,000-15,000 customers.
•According to Chatcharit, traditional car loans often charge higher interest for older cars regardless of the customer's payment history.
•ttb expects the car-for-cash loan to reduce non-performing loans (NPL) by attracting customers with high financial discipline.
•Thakorn Piyapan stated that ttb is currently the only bank using NCB credit scores to determine interest for personal and car title loans.
•ttb plans to launch 'ttb Flash Card', a cash card using Risk-Based Pricing, around October-November.
•ttb's Cash2Go loan provided over 5 billion baht to 28,600 accounts by June, reducing interest burdens by over 800 million baht.

Full article content is available on the original source.

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Source: Prachachat (Original)

Key Quotes

Chatcharit

"Payment history should not just be a compliment; it should be something that can be measured in value and encourage Thais to have good financial discipline."

ประวัติผ่อนชำระหนี้ไม่ควรเป็นแค่คำชื่นชมเฉยๆ แต่ควรจะเป็นอะไรที่วัดเป็นมูลค่าได้ รวมทั้งส่งเสริมให้คนไทยมีวินัยทางการเงินที่ดี

Thakorn Piyapan

"ttb is the first and only bank right now that calculates personal and car title loan interest based on payment behavior using NCB credit scores."

ทีทีบีเป็นแบงก์แรกและแบงก์เดียวในตอนนี้ ที่คิดดอกเบี้ยสินเชื่อส่วนบุคคล และสินเชื่อจำนำทะเบียนตามพฤติกรรมการผ่อน โดยใช้คะแนนเครดิตจาก NCB มากำหนดดอกเบี้ย

Key Entities

Organization

ttb(ทีทีบี)

A bank that launched the car-for-cash loan and Cash2Go products using Risk-Based Pricing.

NCB

The credit bureau whose scores are used by ttb to determine loan interest rates.

Person

Chatcharit(ชัชฤทธิ์)

An executive at ttb who discussed the potential to help customers with good payment histories get better interest rates.

Thakorn Piyapan(ฐากร ปิยะพันธ์)

The President of ttb who announced the new car-for-cash loan and upcoming ttb Flash Card.