I recently contacted a number of Nairalanders concerning installmental payment for a car after mine was stolen in October. The responses ranged from downright cold to lukewarm at best. Some did not even reply. One replied - ''no deal!!''. I urgently needed a car but was not willing to wipe out my savings or sell shares etc. I then walked into a car dealers shop in Lagos and priced his 2004 Nissan Xterra down to 1.95million. This took over one hour. He thought I had cash. Then I proposed the installemental payment thing and he changed his price to 2.2m. I figured this will still be less than I will pay for bank financing with the exorbitant interest rates and bank fees. As a banker myself I feel robbed when I pay these charges. Besides, loans are very difficult to get now. So I agreed. I paid him 1m on the spot on the 19th of november and wrote a postdated cheque for 500,000 against my november salary. This month, he has a cheque for 250,000 against december salary and in january he will get 250,000 again the balance against february salary. it was a win -win. He charged a premium, and i got to take immediate delivery of my car with a pyt of just 1m.
I just thought i should share this because I feel it is an untapped business opportunity for some of you guys. I dont know any of you personally but by virtue of this forum, I feel like some of you are friends already. ALL of the cars i priced on Nairaland with my proposal are still ''available, bump''. I priced four cars and not one of them has been sold. Disabuse your minds from the notion that all Nigerians are thieves. It is not so! When I took my car to work and mentioned how I bought it to some of my colleagues they immediately took the dealers number and my branch manager just took delivery of a Honda accord for his Mrs. He will pay! Not all Nigerians are thieves.
Just thought I should share this sha. I am not saying you guys should change your business models or do anything that will tie down your capital in a detrimental way. Its just a thought!

Cheers and merry christmas!!!!

Lanre,
Nice Share.This is really good;the earlier we start this the better for us in Nigeria.
Even countries where there is better cash flow people buy cars installmentally talkless of Naija.
The car dealers could assess the buyer and deal .its better than that bank shit head of outrageous interest

@ Lanreajax,

Tell them again and again.

I no mind the dealers phone no in my mail add. alao_diran@yahoo.com

The reason installmental payment is not very attractive in Naija is the possibility of getting the car back in case of a non-paying buyer. Lets face it, there is no way you can give out 5 cars on installment and i can almost guarantee you that at least one of them will default. So what do you do?

Even if you know where the person lives.  There's really nothing in place that can help you get the money. Even if you go to the person house and the wife/gateman says he is not around all the time.

Most companies in Naija will prefer to deal with corporate lease/ hire purchase. There is a reason for that. If you are a dealer and you are netting like say 10% profit on a deal, even a 50% deposit on hire purchase will ruin you if the client did not pay cos 40% of your investment is still out there.

I am sorry to say, there are people in Naija that have no intention of paying you back when they apply for the hire purchase cos there's really nothing in place that will force them to pay or any repercussion if the CHOOSE not to pay.

I am glad that you have your car.

congrats , hope say u no go wash am installmentally??

Please can you send me the dealer's number on tolaade23@yahoo.com.Thankyou for this info;i am in real need of a car now but i hav just part of the money.

@lanreajax, ps-Can i get the dealers number in my mailbox[seyisodiya@yahoo.co.uk]. My business needs will need a dealer i can buy bus from and pay in installments. Thanks.

pls can u send me the dealers contact ,dreamnewnigeria@yahoo.com

@ OP, you made my day, this is reality and many Nigerian dealers are yet to understand it is a win win situation, there are protocols to follow and many trusted buyers are ready to do as says, dealers dont have to change their business model, just upgrading would be better. in many countries of the world, auto dealing is a big business. I just wonder why it is a myth in Nigeria. However I agree on that fact that many bad Nigerians made the situation worst, so no one is to be trusted. I'm looking forward to a change in auto business in Nigeria.

lanreajax:
I recently contacted a number of Nairalanders concerning installmental payment for a car after mine was stolen in October. The responses ranged from downright cold to lukewarm at best. Some did not even reply. One replied - ''no deal!!''. I urgently needed a car but was not willing to wipe out my savings or sell shares etc. I then walked into a car dealers shop in Lagos and priced his 2004 Nissan Xterra down to 1.95million. This took over one hour. He thought I had cash. Then I proposed the installemental payment thing and he changed his price to 2.2m. I figured this will still be less than I will pay for bank financing with the exorbitant interest rates and bank fees. As a banker myself I feel robbed when I pay these charges. Besides, loans are very difficult to get now. So I agreed. I paid him 1m on the spot on the 19th of november and wrote a postdated cheque for 500,000 against my november salary. This month, he has a cheque for 250,000 against december salary and in january he will get 250,000 again the balance against february salary. it was a win -win. He charged a premium, and i got to take immediate delivery of my car with a pyt of just 1m.
I just thought i should share this because I feel it is an untapped business opportunity for some of you guys. I dont know any of you personally but by virtue of this forum, I feel like some of you are friends already. ALL of the cars i priced on Nairaland with my proposal are still ''available, bump''. I priced four cars and not one of them has been sold. Disabuse your minds from the notion that all Nigerians are thieves. It is not so! When I took my car to work and mentioned how I bought it to some of my colleagues they immediately took the dealers number and my branch manager just took delivery of a Honda accord for his Mrs. He will pay! Not all Nigerians are thieves.
Just thought I should share this sha. I am not saying you guys should change your business models or do anything that will tie down your capital in a detrimental way. Its just a thought!

Cheers and merry christmas!!!!

Dear lanreajax
What advice do you have for me? I need a Suzuki minibus or a toyota pico (I don`t know if i got hte spelling right) which payment I can spread for 3 years.
I don`t have down payment but I do work and can pay 20k monthly.
I want to use it for transportation which i would be doing by myself after work and weekends.

I don`t know how these bus drivers get buses for transportation by deferred payment but i will be glad for any advice.

Can you give me the dealer contact am looking for a deal too

shotuns:
@ OP, you made my day, this is reality and many Nigerian dealers are yet to understand it is a win win situation, there are protocols to follow and many trusted buyers are ready to do as says, dealers dont have to change their business model, just upgrading would be better. in many countries of the world, auto dealing is a big business. I just wonder why it is a myth in Nigeria. However I agree on that fact that many bad Nigerians made the situation worst, so no one is to be trusted. I'm looking forward to a change in auto business in Nigeria.

I sent you message on watsapp kindly reply

elshanAutos:
Instalmental payment available on certain vehicles. Terms & conditions will vary on discretion.

Contact- 08053779218
08139338897

Email- elshanautos@gmail.com