Carbar has partnered with fintech CarClarity so that users can convert their subscription vehicle into a loan to buy the car they have used as a subscriber.
Through the deal, CarClarity will compare options from more than 30 lenders to offer a loan tailored to the driver’s subscription.
Des Hang, CEO of Carbar, said they launched the loan purchase option in response to requests from subscribers who decided they wanted to own the vehicle.
“Many who want to buy the car from us don’t have the money upfront to do so. Or, as our recent research with YouGov showed, they’d rather spend that extra money on other things, like vacations, parties or their home,” he said.
“All these factors underline the need for this partnership, which will give our customers more options. CarClarity is as focused on the customer experience as we are. We look forward to working with them.”
CarClarity CEO and founder Zaheer Jappie said the partnership was a natural next step for the two startups.
“If a Carbar customer wants to take the next step to permanently purchase the vehicle they have purchased from Carbar, we can help them find a financing solution that is affordable for the customer and takes into account their personal circumstances,” he said. .
“This unique financing solution works towards what the customer is already paying and gives Carbar customers more choices.”
Launched in 2016 in Melbourne, Carbar raised $28.9 million in February this year in a round led by insurer IAG and Seven West Media of billionaire Kerry Stokes. The capital was intended to broaden Carbar’s marketing, partnership and technology capabilities and to capitalize on the growing interest in electric vehicles.
IAG, Australia’s largest insurer, has a majority stake in Carbar after raising $16.8 million in 2019.