Options Financial Services unveils car-for-cash facility

By Isa Isawade

Options Financial Services has launched a new lending product, Car-for-Cash, offering vehicle owners an opportunity to unlock the financial value of their automobiles without giving up possession of their cars.

The facility, unveiled on Friday at the Radisson Blu Hotel, Ikeja, Lagos, is designed to provide individuals and businesses with access to liquidity by using eligible vehicles as collateral while allowing borrowers to continue using the cars.

The company said the product, which comes with an interest rate of 4.5 per cent, was developed in response to the growing demand for flexible financing options among Nigerians seeking funds for business expansion, working capital, urgent financial obligations and other personal needs.

Speaking at the launch, the Chief Executive Officer of Options Financial Services, Habeeb Fasuyi, said the initiative reflected the company’s commitment to developing innovative financial solutions around the existing assets of its customers.

According to him, the Car-for-Cash product provides an alternative to vehicle owners who may need access to funds but are unwilling or unable to sell their automobiles to raise money.

Under the arrangement, eligible customers can use their vehicles as security for financing while retaining the use of the assets for their everyday activities.

The development comes against the backdrop of increasing interest in alternative credit facilities, particularly among individuals and small businesses seeking financing outside conventional lending channels.

Asset-backed lending has emerged as an important component of the financial services ecosystem, enabling borrowers to leverage existing assets to meet immediate funding requirements.

For vehicle owners, the Car-for-Cash model potentially transforms an automobile from simply a means of transportation into an asset that can also provide access to liquidity when needed.

Fasuyi said the company was focused on creating financial products that respond to changing customer needs while expanding access to credit through innovative lending structures.

He noted that the facility could serve customers seeking short- and medium-term funding without necessarily disrupting their daily use of their vehicles.