Ngern Tid Lor chalks up 15% auto loan growth

Ngern Tid Lor chalks up 15% auto loan growth

Ngern Tid Lor (NTL) Co Ltd, a leading auto title lender under Bank of Ayudhya (BAY), recorded 15% growth in loans outstanding for the first nine months this year, despite the sluggish economy.

From January to September, the company's total loans reached 45 billion baht, said NTL managing director Piyasak Ukritnukun.

The firm saw higher-than-expected growth for both new loans and loans outstanding in the nine months to September, Mr Piyasak said without identifying the nine-month targets.

NTL aims for 17% loan growth to 46.5 billion baht this year.

Unique products and services that match customer demand and competitive interest rates are key strategies to attract clients, Mr Piyasak said. Branch expansion nationwide is another business strategy aiding loan growth, he said.

NTL has 966 branches in Thailand and wants to reach 1,000 by the end of this year.

Mr Piyasak said the company adjusted some conditions for both new loans and restructured debt on a case-by-case basis to help consumers better access financial sources. Though NTL has a debt restructuring scheme to help borrowers amid the sluggish economy, it has no plans to ease its loan criteria, he said.

"With good risk management, our customers can access funding sources while we control asset quality," Mr Piyasak said. "The gloomy economy has not resulted in lower loan growth or weaker non-performing loans [NPLs]."

The company's NPLs total 1.2-1.3% of loans outstanding, far below the industry average of 2.5-3%. NTL has about 500,000 customers, mostly low-income earners with monthly income of up to 10,000 baht.

NTL has launched a financial literacy campaign called "Debt or Happiness" aimed at encouraging consumers to consider whether borrowing is necessary before applying for a loan. It includes a guidebook with advice on finance in the digital age.

Do you like the content of this article?

Economic cabinet told to meet every 2 weeks

Prime Minister Prayut Chan-o-cha has ordered the economic cabinet to meet every two weeks in order to seek measures to rehabilitate the economy during the next six to 12 months.


Larger SME loans

DPM Somkid Jatusripitak instructed related parties to set up a new mechanism to enable medium-scale business operators to seek a credit line exceeding 500 million baht.


Mass lay-offs

The labour union of the Business Organisation of the Office of the Welfare Promotion Commission for Teachers and Educational Personnel is calling on management to review its lay-off scheme.