With 7.2 million cars expected to be sold in 2024, the Indian second-hand car market is 1.6 times larger than the new car market and is growing at a 15 per cent annual rate, according to an industry report by Mordor Intelligence. Over 60 per cent of first-time car buyers opt for used cars as their first four-wheeler. While it’s well-established that buying a pre-owned car is financially smart, the process of obtaining a loan for a second-hand car is often complicated, involving condition assessment, document verification, bank clearance, and RC transfer.

“Nxcar integrates various services on a single tech platform, making the experience of buying a used car as transparent and convenient as buying a new one from a showroom,” says Mani Singh, Co-founder and Director of Nxfin Technologies. According to Mani Singh, Nxcar offers loans, document checks, physical inspection, valuation, extended warranty, insurance, and RC transfer through a seamless online process. It has partnered with over 20 banks and NBFCs to ensure nationwide coverage and provide end-to-end used car loan origination and management.

Currently, Nxcar’s services are available in the metropolitan areas of Mumbai, Pune, Bangalore, Hyderabad, Kolkata, and across North India.

Traditionally, banks have been hesitant to finance pre-owned cars due to the complexities in asset valuation and ownership verification. Customers could only secure loans when buying from large aggregators or corporate dealers, often at a 20-30 per cent higher price compared to local purchases. Nxcar addresses these issues by providing a single point of validation for buyers, lenders, and insurance companies. Their inspection and valuation services also enable them to offer extended warranty packages on cars up to 10 years old, ensuring peace of mind for second-hand car buyers and added security for lenders.

Nxcar does not compete with dealers; instead, it facilitates faster car sales for dealers by providing their customers with easy access to loans, warranty, and insurance through the Nxcar platform.

Founded in 2022, Nxfin Technologies initially focused on supply chain finance for used car dealers, offering extended credit terms for acquiring resale cars and completing the first year of operations with over Rs 800 million in sales. Expanding to an integrated platform for loans and other services is a natural progression for the fintech, further empowering used car dealers to enhance their offerings and expanding the available pool of used cars to end customers.

In collaboration with RGI, Liferay DXP, a leading Digital Experience Platform, and InfoAxon, a Digital Transformation Solutions provider, are embarking on a journey to transform RGI’s digital footprint across various channels. From engaging D2C digital journeys on the Website to Customer Portal, Agent portal, and microsites, powered by an innovative Customer Data Platform, the partnership promises to elevate RGI’s digital presence to new heights.

This partnership will empower RGI to swiftly deliver and scale personalized omnichannel experiences for its customers, agents, BANCA partners, OEM Partners, Tele agents, and Digital alliances through partners. By leveraging an innovative Data Lake (Customer Data Platform-CDP), real-time customer data will be converted into actionable insights, ensuring hyper-personalization and seamless digital experiences, thus fostering deeper engagement and boosting conversions.

Commenting on the partnership, Prabhdeep Batra, Chief Distribution Officer, Reliance General Insurance, expressed, “We are thrilled to embark on this digital journey with Liferay and InfoAxon. This strategic partnership marks a significant milestone in our quest to revolutionize the insurance landscape through innovation and technology. We are poised to deliver unparalleled digital experiences, driving deeper engagement and value for our customers and partners.”

“Liferay is proud to be part of RGI’s digital transformation journey,” said Manish Gupta, General Manager, India & SAARC, Liferay. “We remain committed to supporting RGI’s mission and future requirements to optimize operations and generate engaging digital experiences across channels.”

Liferay’s DXP platform facilitates and empowers enterprises with digital innovations and experiences in a quick and agile manner. Liferay DXP is one platform using which insurers can deliver multiple use cases across B2C, B2B and B2E channels.

“InfoAxon has built incredible momentum as the global go-to digital transformation partner for leading insurers. We welcome RGI as our esteemed customer and are excited to partner with them on their digital transformation journey”, said Vineet Dahiya, Co-founder at InfoAxon. “Based on our experience of working with global insurance organizations and our decade-old partnership with Liferay, we have developed a Digital Insurance Stack that accelerates insurance product launches with configurable buying journeys, maximizes digital distribution opportunities, and rapidly delivers engaging Omnichannel experiences. Leveraging our digital insurance stack, RGI will be able to create more touchpoints and more opportunities to engage with the customer, leading to more and better opportunities to sell, service, and retain”, he further added.

Reliance General Insurance

Reliance General Insurance, a subsidiary of Reliance Capital, is one of India’s leading general insurance companies. The Company offers a well-rounded and comprehensive bouquet of products including Motor Insurance, Health Insurance, Travel Insurance, and Home Insurance. It provides customized solutions to meet the protection needs of each customer. Reliance General Insurance has a robust network of more than 90,000+ intermediaries and 129 branches across India for offering its products and services to retail, corporates, and SME clients.

InfoAxon

Since its inception in 2001, InfoAxon has transformed how Banking, Financial Services, and Insurance (BFSI) sectors approach digital transformation. As their strategic partner, we help customers become ‘digital businesses’ by empowering them with agile digital architecture to deliver personalized omnichannel experiences at scale. We are working with some of the leading BFSI organizations helping them with unique capabilities to quickly launch frictionless omnichannel experiences with innovative features such as product configurator, configurable buying journeys, product comparison and recommendation, combo product journeys, intelligent nudges, etc. InfoAxon is Liferay’s oldest and only Gold Partner in India. To know more about how we can help you accelerate your digital journey, visit us at infoaxon.com

Liferay

Liferay helps organizations build for the future by enabling them to create, manage, and scale powerful solutions on the world’s most flexible Digital Experience Platform (DXP). Trusted globally by over a thousand companies spanning multiple industries, Liferay’s open-source DXP facilitates the development of marketing and commerce websites, customer portals, intranets, and more. Learn how we can use technology to change the world together at liferay.com.

(c) 2024 Liferay, Inc. All rights reserved.

Contact:

Liferay India Pvt Ltd,

Sailendra Routray

sailendra.routray@liferay.com

What is a Forex swap?

Swap is a commission charged for carrying open positions overnight to the next trading day in the Forex market. The exact moment when the swap is withdrawn from your trading account depends on your broker. Most brokers charge it most often between 11 p.m. and 12 a.m. server time.

The Forex market is over-the-counter and non-deliverable, meaning you are not the owner of the trading asset. In order not to cause the need for calculations, the system automatically closes an open position on the current trading day and opens it on the next one. Such closing is considered conditional, as the position is carried over, and the swap is charged.

Depending on the value of the swap and the position, the swap can be negative or positive. In other words, you will either have to pay a commission or be paid a commission for holding an open position overnight. This is because the margin system used in Forex trading allows you to use the additional capital the broker provides. You borrow funds to open a position from your broker.

There is an opinion among traders that the Forex swap is nothing but a broker’s commission. However, this is not true. Let’s find out how swaps work in the Forex market.

How do swaps work in the Forex market?

Every time you open a position, you make two transactions: buying one and selling another currency in a currency pair. So, you are essentially borrowing that money to sell one of the currencies and need to pay interest on the borrowed amount. However, in doing so, the currency you buy will earn you interest.

If the base interest rate on the currency you buy is higher than the currency you sell, you can earn interest on the difference in rates for carrying an open position to the next day. However, given the broker’s markup, regardless of the direction of the open position (buying or selling), you will have to pay a commission.

Thus, the value of a swap depends on the market and the instrument you are trading. For example, the swap on the same EURUSD and USDJPY positions will differ.

The value of swap varies depending on:

– online broker

– type of the position–Buy or Sell

– type of the asset

– number of days the position remains open

– nominal value of the position (number of lots).

Why is there a triple swap?

Sometimes, a swap is charged for holding an open position over the weekend, even if you did not have it on Saturday and Sunday. Such a fee is called a triple swap. Since the markets are closed on weekends, the triple swap was invented to compensate for this and is charged either on Fridays or Wednesdays, depending on the specific market.

This is because orders are settled on the Forex market on the second working day from the trade date (T+2). Since the value date falls on a weekend, the transfer is made for three days at once (on Monday). Therefore, from Wednesday to Thursday (at 12 a.m.), the swap is charged for the past weekend and Wednesday.

In other words, if you hold your position overnight when the triple swap is applied, your order will be charged three times the standard swap.

Are there swap-free accounts?

To make trading more convenient and accessible, many brokers have introduced the concept of swap-free accounts.

Swap-free accounts relieve the trader from the need to constantly monitor the size of accounting rates on currencies in a currency pair, make trading more straightforward, and allow taking into account in advance the commission for the transfer of positions when calculating the financial result of planned transactions. It is also relevant for those clients who cannot use swaps due to religious beliefs. This determines the second name of this type of account–Islamic accounts.

Charged daily, the swap fee accumulates over time, making trading less favourable. To enhance the investment opportunities of its customers, Octa has decided to remove swap fees for all types of trading accounts. These fees will no longer prevent traders from using medium- and long-term strategies in the financial market. Now, they can keep that position open for as long as they see fit and with no swap cost.