# consumer credit
Latest news and articles about consumer credit
Total: 2 articles found
China’s EV Makers Sell Longer Loans, Not Cheaper Cars: Seven‑Year Finance Rides to the Rescue
Chinese automakers have adopted seven‑year low‑interest loan packages to sustain EV sales as regulators curb below‑cost discounts and purchase tax incentives are scaled back. The offers lower monthly payments but raise total borrowing costs, shift ownership and resale risks onto buyers, and increase exposure for non‑bank financiers.
Price War Fades, Financing Mayhem Begins: How China’s Carmakers Are Competing with 7‑Year Loans
China’s auto makers have shifted from price cuts to long‑tenor, low‑interest financing as regulators clamp down on direct price wars and fiscal policy subsidises consumer loans. The tactic reduces monthly payments and attracts young buyers, but it also locks consumers into long contracts on rapidly depreciating electric vehicles and concentrates advantages with well‑capitalised firms.