Uncertainty over their future following the Brexit vote could lead to EU nationals in Britain opting for shorter-term motor finance products, according to online retailer buyacar.co.uk.
In order to take advantage of this, finance providers need to make sure early exit options from agreements are made clear, as the retailer said some EU nationals had become wary of taking long term car finance, the retailer said.
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It added that it had seen what it described as ‘a familiar mid-summer trading pattern’, with no immediate negative market impact from the vote.
Buyacar.co.uk did note, however, that it had seen more determined buyers in the market, revealed by an upward trend in the conversion rate between car purchase quotations saved on the site and actual sales.
Managing director Austin Collins said: “What emerged in our contact with many customers is that EU nationals currently resident in the UK are increasingly wary around the issue of long term finance . A significant number of those we have spoken to are citing uncertainty about their future residential status as a concern when planning for the medium to long term.
“There are nearly three million EU nationals living in Britain and they are a significant customer segment for us.
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By GlobalData“We believe this signals an opportunity for innovative finance providers to reach out to that segment with new offerings and reassurances around the exit terms of their existing products.”
