From the international trend, the development of automobile financial company showed the following characteristics.

A, diversification

Diversity is reflected in the following aspects: one is the diversification of financing object, namely the automobile financial company is no longer limited vehicle financing to the corporate brand, but through the agency of the financing object to expand a variety of brands; two is the financial service type diversification, the traditional purchase a car to car consumption credit derivatives and other areas of personal finance service, these derivatives business and consumer credit business to promote the interaction, to meet the various needs of automobile consumer finance. Three is the geographical diversification, which provide the corresponding products of automobile financial service according to different parts of the customer demand, customers in different regions to choose any consumer car can obtain the corresponding financial support.

Two, modernization

Modernization refers to the modern information technology is widely used in business operation and risk assessment process of automobile finance service. The future trend is to make full use of the Internet business. Has the vital significance to reduce the cost of automobile financial service modernization to improve efficiency. As a retail banking based financial services, trade and the means of modernization is the route one must take. For example, direct bank public Financial Services Company (DIRECTBANK) mode, is different from the traditional banks need a new branch, it is no longer the establishment of branches to attract customers, but also made full use of the information advantage, the car dealers, customers and financial institutions of information connected by network, represents the development trend of the future business similar to automobile consumption credit is a kind of retail banking.

Three, international

The automobile finance service internationalization from economic globalization. Economic globalization greatly promote the automobile industry in the global scope of the reorganization, the auto industry Multi-National Corporation organization of production, sales and global in scope, provide financial services. Current, Ford, Toyota, VW has a monopoly of 70% of the global car market, the corresponding financial services is on the way to the joint and agent.

A small organization of automobile financial service due to the efficiency and transaction cost in market competition at a disadvantage, for incorporation into big financial companies, this trend with the auto industry over the past ten years in the world within the scope of the restructuring has been further enhanced, currently holds the world's major car market transnational Automotive Group, also occupies the corresponding the automobile finance service market.

Two is the economic globalization especially the promotion of financial and monetary integration. For example, in the euro area, public financial company launched the car loan are consistent in interest and fee business, hand.

The three is with the increase of impact of customer size on the automobile finance service indirect costs and return on assets, through the development of the globalization of the financial business, can improve economies of scale.

The four is the automobile financial service form of globalization is more diverse, from brand financing agency to establish branches are not uncommon, instead of a single form of wholly owned subsidiaries. Through wholly-owned, joint venture, cooperation, agent financing transnational automobile financial service institutions are globally competitive. Auto market of China as a global biggest potential, along with the automobile market is heating up, in the "management measures" after the introduction of the automobile financial company, is bound to speed up into the field of competition.

How to develop the automobile professional financial institutions

According to the "measures" in the establishment of an auto financing company requirements, specific ways of generating such institutions may have three kinds of patterns: one is the independent financial company mode; the two is the financial companies of enterprise groups mode; three is a Sino foreign joint venture financial company mode.

One, the independent financial company mode

Independent financial company is a professional auto finance company is independent from the single enterprise group. Control of such institutions is not affected by the current financial companies of enterprise groups in the sources and application of working capital, capital of. The initial stage should be set high entry standards, has three purposes: one is to obtain the automobile finance service scale benefit; the two is to promote the automobile enterprise group jointly set up the financial services institutions, so as to promote the merger and reorganization of automobile enterprise groups, enhance the overall competitiveness of China's automobile industry; three is to form a truly professional institutions and banks competing situation, so as to promote the professional development of the market. With the development of the market, the market demand is fully developed, can reduce the set standards, to create more market players to participate in the competition, promote the professional development of the market.

Two, financial companies of enterprise groups mode

The automobile financial institutions under this mode still under the single group, but with its business is gradually turning to the financing single car sales, should gradually break through the single group limited in application and the sources of the funds, the equality and the first independent financial company's competitive conditions endow.

Three, Sino foreign joint venture model

In view of the joint venture is China's automobile industry production body, it can also use this mode in auto sales and financial services. This model has two advantages: one is to play both sides in the field of the automobile financial service complementary advantages; two is through the joint financial services to strengthen the two sides in the automobile manufacturing interests of the association, to attract more foreign investment to upgrade China's automobile manufacturing industry level.

According to the above three models, the future automobile financial company's investment may include the following: one is the domestic automobile manufacturers; two is the foreign auto makers or financial company; the three is investment main body. From "the establishment of standards required to see:" general, Ford, mass, Toyota foreign and domestic automobile group of FAW Group, SAIC these three big automobile group most likely to be a major initiated the establishment of an auto financing company'.

The development of international automobile financial service industry trends

The modern financial industry development to today, has long been out of business credit era, into not specific to a particular industry comprehensive financial institutions. So it is with China, no matter what the industry in the national economy status is important, regardless of the type of consumer groups, there is no need to set up the financial services agency and corresponding, but the automobile financial company seems to be an exception.

Emerge as the times require professional automotive financial institutions

The automobile financial company, is specialized in automobile sales and consumption of financial services. From the development history of international auto finance service industry, this kind of mechanism is mainly auto manufacturers to set up to promote company products of financial company. Such as Volkswagen Company set up a public Financial Services Company, Ford automobile company set up Ford Credit Company, general notes GM accepting company set up.

Unlike in China are: foreign leading auto finance market is not a commercial bank, but this kind of set up by the carmakers' finance company. To America as an example, 1999 new car financing sales of 11770000 units, of which Ford credit (FMCC), general financing (GMAC), Chrysler Finance (CFC), Toyota financial (TFC) and other 4 major auto Finance Companies accounted for 39%, the banks accounted for 26%, other financial companies and Credit Union accounted for 35%.

From the development history of automobile financial company, the first auto finance company is a General Motors Corporation established in 1919 GM bill acceptance Corporation (GMAC). The company specializes in acceptance or discounted GM dealer accounts receivable. With the establishment of automobile specialized financial institutions, separation of automobile manufacturing and sales aspects of capital, makes the car sales unprecedented growth, adapted to the automotive industry into the development of mass production system requirements. After that, the major auto manufacturers began to set up the financial institutions to the dealer and customer financing, the bank begins to enter the field, and the formation of mutual competition and automakers finance company.

With the expansion of market and competition intensifies, auto finance companies have gradually revealed competitive advantage. With the relaxation of financial regulation, this kind of mechanism to direct the issuance of commercial paper and corporate debt financing, the lack of funds advantage no longer exist. Now these institutions has spread all over the world, the 3 largest general acceptance company, Credit Company, Financial Services Company Ford volkswagen. In twentieth Century 90 years, due to merger, profits, an increase in bad loans, car rental residual risks rise and other factors, many banks have gradually out of the market, including the world bank that Citigroup, Bank of America, but also the basic exit or contraction of the automobile finance business, auto finance companies subject status in the the market has been further enhanced.

Structural adjustment of international auto finance industry

In the past 10 to 15 years, great changes have taken place in the international automobile financial industry. This change is mainly manifested in the change of the market structure between the bank and the professional automotive financial institutions.

American is the world's largest car market, is the most developed country automobile professional financial institutions. As the banking sector restructuring and expand the business cost reasons, USA bank auto finance service has decreased, even disappeared from the automobile finance market. Such as the Bank of England at the end of 1990 to withdraw from the market, Citibank in 1994 April the 900000000 dollar of 3 ten million auto financing accounts receivable for sale to the general automobile financial company. The bank in 1989 the most USA automobile financial business to the Ford Motor Credit Co, leaving only the New York market share. With Bank of America from 1998 to 1999 with the National Bank, in 2000 August announced its auto financing business restructuring and merger plan, loans and leasing business is reduced by 50%. The chase Manhattan bank's 1989 acquisition of the Bank of Dezhou, from 1995 to 1996 acquisition of Chemical Bank, due to the conflict of adjustment operations, in 2000 the car rental business lost $100000000. Bank of America America third big banks, its management strategy also has from the fierce competition in the car retail financing, lease financing business and second-hand car, and strictly limited cooperation with dealers.

The Asia Pacific region also appeared similar to market changes. National Australia Bank has been dissolved and merged its wholly owned responsible for automobile credit business of financial companies, and its auto financing business sold to Ford credit in local subsidiaries. India auto financing business for the banks is a relatively new industry. Dealer inventory financing mainly depends on the manufacturer's financial companies and other non bank financial institutions, banks do not intervene. In the final user car loans, banks and finance companies among the world manufacturer.

The Japanese automobile financial service is mainly composed of a manufacturer of financial companies and Credit Company, banks do not enter the field. Thailand after the Asian financial crisis, including farmers bank, Bangkok Bank and other well-known banks, banks have withdrawn from the automobile finance service. Malaysia automobile consumption credit business can only be borne by non bank financial institutions, banks were prohibited from providing this type of business.

European universal bank system. Banks may engage in all financial business includes automobile finance. But in order to overcome conflicts comprehensive banks and auto finance professional, in recent years, the area of banks by setting up subsidiaries engage in the form of auto finance business. Spanish banks not directly engaged in auto finance business, but to set up subsidiary financial companies engaged in this business. The French car maker subsidiary financial companies in the automobile finance business in the proportion rising. In 1999, Citroen company bought the general electric financial company of automobile financial company.

The German carmaker automobile financial institutions established mostly in bank forms, such as Volkswagen automobile finance company Volkswagen bank, BMW automobile company set up BMW bank, provides savings and credit business for automotive consumer specialized banks. Other banks also provides auto finance business, but in this field is not dominant, and generally not car dealer inventory financing, also do not provide auto financing lease service, providing credit services only to consumers.

From the trend, the automobile manufacturer and its affiliated financial company interests tend to close, often through its subsidiary financial companies with sales subsidies to consumers of low interest rate marketing auto finance business, the bank is difficult to assess and realizable automotive salvage value, the bank competitiveness in this field weakening. Therefore, the bank more in financing, payment and settlement, the credit card business, the formation of business cooperation and professional automobile financial company, so as to promote the automobile finance service to develop in depth.

[sound] to provide professional services for automobile consumption

According to the analysis of national statistics, when the per capita income reached $500, the car entered the family; when the level of per capita income reached 1000 U. s.dollars, family cars significantly faster. Last year China's GDP is 9 more than 1 trillion yuan, the per capita of about $777 (per 1400000000 population). According to the annual economic growth rate of 8% projections, China will reach $1000 per capita GDP levels in 2004, will usher in the first peak in the family car into the. Since the second half of last year, the automobile consumption continued warming, not all WTO stimulation, it is gradually formed the family car into the peak.

With the "management approach" the automobile finance company and the revised "personal car loan management approach" introduced from abroad, development of the market, we should see a significant change after China's entry into WTO, the automobile financial service market, the market will gradually specialization. The so-called professional, is the automobile finance service from the general consumer credit business gradually to the automobile financial service professional. This transformation includes:

(1) the automobile financial service has operated by automobile specialized financial institutions; (2) business operation and risk management specialization, gradually introducing specialized credit evaluation and risk management system; (3) the specialized funds. Purchase a car such as absorption of deposits, commercial paper issuance, discount and car loans secured financing; (4) the specialized financial services. Along with the automobile financial service professional, the next car consumers will not just get the loan purchase a car, can enjoy and car consumption a series of financial services related to. For example, automobile consumption credit cards, purchase a car, travel car credit, savings.

Our country's financial structure and the automobile finance service professional there is contradiction. In the monopoly of state-owned banks to the structure of competition, the development of other specialized financial institutions are subject to certain restrictions, especially the sources of funding constraints. Therefore, how will the professional advantages of bank capital advantage and automobile financial institutions combined, is the development trend of the market in the future. For example, the bank will cash in an appropriate form for wholesale auto financing company, and then by the automobile financial company to customer credit; such as banks and auto finance companies jointly issued the bank card, in order to promote the automobile financial service; for example, the bank signed a settlement agreement with the auto finance companies, the use of bank acceptance and discount and other payment tools to carry out business etc.. Therefore, the policy should encourage the coordination between auto finance companies and banks cooperate.

We believe that, along with the automobile financial company, the automobile finance service specialization will be promoted, our car consumers will enjoy more perfect and low cost financial services.

[background] market is huge service product variety

The automobile finance service industry is relying on and promoting the development of auto industry and financial industry. Now, for the commercial banks to provide the automobile consumer credit services, we are not unfamiliar. But from the foreign practices, the automobile finance service usually refers to the automobile sales process to provide to the consumer or dealer financing and other financial services, including dealer inventory financing and operating mechanism for automobile and consumer credit or financing lease.

The whole process of the automobile financial service not only cover the pre-sale, sale and after sale of the automobile, but also extended to the automobile consumption and related fields. From financial services, in addition to providing credit operations, including financing lease, purchase a car, car consumption savings insurance, credit cards etc..

The automobile financial service is a big industry. At present, the global annual sales income of about $1.3, the annual growth rate of about 2% to 3%. The 30% is the cash sales, about 70% have a financing arrangement. In 70% of the financing of sales, new car sales accounted for 56%, accounting for 44% of sales in the car; financing in the form of lease financing, loans accounted for 78%, accounted for 22%; in the geographical distribution of Western Europe, North America accounted for 46%, accounted for 28%, other regions accounted for 26%.

Since 1998 October the people's Bank of China issued "automobile consumption credit management approach", the commercial banks are allowed to operate personal automobile consumption credit business. In 1998 the people's Bank of China promulgated the "measures" provisions of the management of financial companies of enterprise groups: finance company can provide financing to support the group product sales, so that the domestic automobile enterprise group finance companies are allowed to provide the buyer's credit for the group of car users.

In 2000 November, the people's Bank of Chinese announcement: according to China's accession to the world trade organization, the foreign non bank financial institutions will be based on relevant measures formulated by the people's Bank of China, provide automobile consumption credit business of Chinese residents. The introduction of the "management methods of auto finance company", is our country to fulfill a specific performance with WTO commitment.

In the past two years, car sales showed rapid growth, promoted the growth of automobile consumption credit. According to the statistics of the people's Bank of Chinese, to 2003 the end of 8, the car consumption loans provide all financial institutions reached 170006000000 yuan, an increase of 62014000000 yuan over the beginning of the year, an increase of 21100000000 yuan. The 4 state-owned commercial banks 145400000000 yuan, accounting for 85%; Joint-stock Commercial Bank of 20600000000 yuan, accounting for 12%; City Commercial Bank 9748000000 yuan, accounting for 5.7%; the financial company 565000000 yuan, accounting for 0.3%.

The loans of financial institutions to support the car sales, car sales have accounted for 20%. But the ratio of 70% compared with foreign, there are still gaps and great development potential. According to foreign experience in the development of this market, automobile professional financial institutions is the main body of the market. To America as an example, 1999 new car financing sales of 11770000 units, of which Ford credit (FMCC), general financing (GMAC), Chrysler Finance (CFC), Toyota financial (TFC) and other 4 major auto Finance Companies accounted for 39%, the banks accounted for 26%, other financial companies and Credit Union (creditunion) 35%.

"The implementation of management measures" automobile financial company, the automobile finance service adds a kind of market main body, not only beneficial to consumers, dealers and manufacturers to make more choices, but also help to promote the automobile financial service market of professional development and raising the level of risk management, so as to better promote the development of the automobile industry, for the expansion of domestic demand, to maintain sustained and rapid economic growth contribution.