BNP Paribas enters used-car trade
BNP Paribas, parent company of Arval, is investing €1.3 million in Pay-Car, a startup that acts as a trusted third party for peer-to-peer payments between individual sellers and buyers of used cars.
Pay-Car was set up in France in 2015. The company already collaborated closely with BNP Paribas Cardif since March 2016 within the framework of Atelier BNP Paribas's Accélérateur FinTech. The French banking group wished to continue its association with Pay-Car by participating in the startup's first round of fundraising.
"This will help us achieve our goal – to have Pay-Car become the payment standard for all used-car sales (in France)", says Vincent Marty-Lavauzelle (pictured), co-founder of the company.
Each transaction up to €100,000 via Pay-Car incurs a cost of €40, divided equally between buyer and seller. However, the company will soon get competition: the tech subsidary of the BPCE banking group has acquired a majority in Depopass, which also has a used-car solution, called S-Money.