Tisco Financial Group, the holding company of Tisco Bank, reported positive auto loan growth in Thailand in the first quarter of 2026, mainly driven by an increase in electric vehicle (EV) sales.
Tisco, one of the country’s leading auto loan providers, expanded its total auto hire-purchase loan portfolio to 103.6 billion baht as of March, representing a year-to-date increase of 0.9%, according to the bank’s statement to the Stock Exchange of Thailand (SET).
Auto loans remained the bank’s largest portfolio, accounting for around 44% of total outstanding loans. However, the bank’s overall loan portfolio declined by 0.3% during the period, mainly due to corporate loan repayments.
Tisco stated that its auto loan growth was primarily supported by expansion across all hire-purchase segments, in line with the country’s new car sales.
Domestic car sales in the first two months of this year totalled 122,218 units, up 25.5% from 97,395 units in the same period in 2025. The increase was attributed to the expiration of the EV 3.0 incentive measure.
Tisco’s car market penetration rate improved to 6.5% in the first two months of 2026, up from 5% in the same period last year. Meanwhile, used-car and motorcycle hire-purchase loans grew by 0.5% and 3.3% year to date, respectively.
However, TMBThanachart Bank (ttb), another major player in the auto loan market, reported a 2.3% year-to-date decline in its hire-purchase loan portfolio.
The contraction was driven by loan repayments continuing to outpace new loan bookings. In particular, new car loans fell by 3.4%, and the Cash Your Car loan scheme — car title loans with both non-transfer and title transfer options — declined by 1.9%.
Used-car loans edged up slightly by 0.2%, while “Cash Your Book”, a high-yield loan product that provides quick cash to car owners using their vehicle registration book as collateral, continued to grow by 10.4%.
SCB EIC, the research arm of Siam Commercial Bank, reported that Thailand’s Motor Show 2026 recorded a historic high of 130,000 new car bookings, driven by strong EV demand and shifting consumer purchasing behaviour.
The increase was supported by rising awareness of EVs, partly accelerated by higher oil prices linked to ongoing conflicts in the Middle East.
At the same time, Thai consumers’ car-buying behaviour is evolving. Buyers are increasingly prioritising value for money and advanced technology over brand loyalty. Additionally, EVs are often purchased as second or additional vehicles within households, making consumers more open to trying new models.
“EIC estimates that around 70% of total bookings from Motor Show 2026 will be converted into actual deliveries, down from an average of 75-80% during 2022-25. This is due to tighter loan approval processes, particularly for EVs,” the research centre noted.
Banks typically require higher down payments and shorter loan tenors for EV loans. There is also a risk of booking cancellations, either due to consumers switching to newly launched models with more attractive features or long delivery wait times.