Fintech company Mezubo has formed an alliance in Colombia with Mercado Libre to offer pre-owned-car financing for users of the e-commerce giant, according to a report in ElTiempo.com.
This is a significant development as Mercado Libre operates the leading auto marketplace in Colombia via TuCarro.com.co/Carros.MercadoLibre.com.co.
In addition to used-car financing, Mezubo is setting up a pilot program in Bogotá offering free mechanical inspections for Mercado Libre users that take their vehicles to the e-commerce company’s photography centers.
The inspected vehicles will be certified, to give buyers an extra measure of confidence before they get to know the cars physically.
Mezubo, founded by Nicolás and Juan Sebastián Pardo, launched in June 2021; it has posted growth of 400% and expects to close 2022 with growth of 600%.
“Cars have experienced a price increase; most of them are imported or assembled in Colombia with imported parts. However, we think that the used-car market will continue to have a great dynamism as it represents the opportunity for people to buy more affordable vehicles that are readily available,” said CEO Nicolás Pardo. “Mezubo will be there to offer easy and quick financing, with a product that aims to preserve their finances.”
In spite of the economic outlook, the fintech has exceeded its own expectations since starting operations in Colombia 15 months ago. The company believes that the used-car market remains solid, so argues that it has a role to play for those who need vehicle finance.