• Wednesday, February 28, 2024
businessday logo


Stanbic IBTC Bank partners PAN Nigeria on vehicle finance


In a move expected to redefine vehicle financing and acquisition in the country as well as empower Nigerians to own new vehicles, Stanbic IBTC Bank and PAN Nigeria Limited, makers of the Peugeot brand of vehicles, have on Friday in Lagos signed a novel Finance Lease Agreement.

The new scheme, according to Stanbic IBTC Bank, a member of Stanbic IBTC Holdings Plc, will allow the seamless and convenient acquisition of Peugeot range of products by customers.

Under the scheme, applicants are expected to make an equity contribution starting from as low as 10 percent of the total value of the vehicle to be leased, and payment period can last for as long as 60 months or five years.

Other benefits of the Finance Lease Agreement, according to Stanbic IBTC Bank, include tax reduction, competitive interest rates, comprehensive insurance policy at lower rates, low equity contribution, among others.

Speaking at the launch of the partnership in Lagos,  Obinnia Abajue executive director, Personal and Business Banking, Stanbic IBTC, said the bank is honoured to partner with an iconic Nigerian brand like Peugeot. He added that product quality was an important consideration in the bank’s choice of PAN Nigeria Limited and assured that Stanbic IBTC will continue to identify opportunities to provide financial solutions that meet the needs of customers. He said the Finance Lease Agreement will ensure that customers as well as interested Nigerians have access to vehicles of their choice at a competitive rate and convenient payment terms.

“This agreement underscores our desire to reduce the burden of vehicle acquisition by Nigerians. The fact that Peugeot is Nigerian gives us comfort and Stanbic IBTC identifies with the emotions that the vehicles evoke. The uniqueness of this partnership is that rather than fund asset acquisition from capital, the customer can lease the assets while the capital amount is utilised for other investment purposes. As such, applicants have a longer period to pay for the asset without necessarily depleting their capital,” Abajue said.

The Managing Director of PAN Nigeria Limited, Ibrahim Boyi, said Stanbic IBTC’s pedigree in asset financing made it a natural choice for the partnership. According to him, the decision to partner Stanbic IBTC Bank was both strategic and deliberate because of the shared qualities of innovation, service delivery and market leadership.

“The collaboration between PAN Nigeria Limited and Stanbic IBTC is a very strategic one. Both brands are customer-centric, have strong operational values for partnership, growth and sustainability and both are leaders in their industries,” Boyi said. The values that Stanbic IBTC brings to the table are easy access to finance, expertise, and convenience, while the value proposition of PAN Nigeria Limited include vehicle safety, better road handling, competitive pricing, modern and efficient vehicles and the most affordable after-sales services, Boyi added. “PAN Nigeria Limited and Stanbic IBTC offer customers convenient and flexible acquisition process. As flexible as you may want it to be,” the PAN MD assured.