In India, BMW starts auto financing

In India, BMW starts auto financingIn India, in a bid to expand market, BMW Group, the world's biggest luxury carmaker has launched auto finance business.

To boost sales, BMW has taken the help of BMW Financial Services, to support dealers and its customers. To operate as a non-banking finance company, BMW Financial Services has received the license from the Reserve Bank of India.

This financial company is the wholly owned subsidiary of the BMW Group. With an initial investment of $50 million, this financial entity will be based in Gurgaon.

Currently in India, a pitched battle is being fought between Mercedes and BMW for the top position of luxury car sales. By 2011, Daimler Financial Services will start operating in India, as per Daimler AG, who is manufacturing and selling the Mercedes car.

Sanjiv Shah who is CEO and MD of the BMW Financial Services said that the company will provide custom-made financial services through the BMW dealers to the customers.

He has further said that they will provide finance to the customers of BMW and in addition, to the other customers who want to any other car, from Maruti to Honda.