Annabelle Clarke

PR Manager

Annabelle Clarke | Author

Eduardo Rodrigues

Content Writer

Claudia Tuñón

Isobel Coughlan

Joseph Law

Bumper Content Writer

Alastair Shephard

The UK startup offering interest-free flexible payments for car repairs sets sights on Europe after ‘bumper’ year

UK-based auto fintech startup Bumper has raised $12M in Series A funding to roll out its car repair financing platform across Europe. The round is led by Silicon Valley based Autotech Ventures, with participation from Porsche Ventures and Jaguar Land Rover’s fund InMotion Ventures, and a group of prominent angel investors. The latest round brings total funds raised by the company to $17.5m.

Bumper enables customers to spread the cost of car repairs by offering interest-free, flexible payments to help drivers better afford necessary repairs and maintenance. Customers can split bills and authorise repairs in seconds via a fully digital automated process, making the process more efficient and removing the need for uncomfortable price negotiations with dealerships. 

With new car purchases currently at their lowest since 1998

 with a growing need for financing repairs on older vehicles. This is reflected in the European aftersales market, which is projected to 

Alongside the consumer offering, Bumper partners with the world’s leading OEMs including Volkswagen Group, Ford, Jaguar Land Rover and Nissan, and approximately 60% of the franchised UK dealer market currently use Bumper’s payment platform. For automotive partners, using Bumper’s payment solution increases repair conversion rates and reduces discounting and price negotiation, a costly practice which leads to losses for the retailer and poor customer satisfaction. Bumper charges a small transaction fee to the dealerships in exchange for providing the full cost of the repair up front.

Bumper is the only BNPL provider to aggregate thousands of vehicle and consumer finance data, with thorough affordability checks, ensuring it is always lending responsibly. To ensure both dealerships and consumers are protected from loan defaults, Bumper has developed a Machine Learning-enabled automotive scorecard as part of a rigorous credit checking process; this includes accessing the dealerships’ APIs to source customer information quickly and without laborious application processes.

Already a dominant player in the UK and Ireland, Bumper is currently rolling out its product in Germany, plans to launch in Spain and the Netherlands in the next three months, and has ambitions to be in every major European market by the end of 2022. The new funding will go towards hiring in these new markets, scaling the tech team, and marketing efforts as they build out the B2C proposition.

Plans are also in the pipeline for the widespread launch of a consumer app, which will act as a one stop shop for all automotive requirements, such as payments for congestion charges, parking and tolls, and approving repair work. The app is due to launch in the UK in January 2022.

Bumper was named eighth fastest-growing European fintech by the Financial Times this year, and has already been profitable for the last 18 months, with GMV (Gross Merchandise Value) set to triple by the end of this year. Unlike other Buy Now Pay Later models, Bumper’s transactions are typically large, one-off sums. This means that customers are not being encouraged to regularly borrow more than they can afford, and default rates are low.

 said: “The current process for handling car repairs is broken on both sides, with dealerships selling just 40% of identified repairs and drivers left out of pocket and with dangerous vehicles. Bumper offers a simple alternative to unexpected car repairs. It’s a very different proposition to other Buy Now Pay Later services, as we’re not encouraging people to buy things they don’t need, we’re enabling them to purchase necessary repairs at an affordable rate. We’ve seen huge demand for expanding the services we offer, and are looking forward to bringing Bumper to customers across Europe.”

 said: “Buy Now Pay Later is the fastest growing online payment method globally. Bumper’s market-leading proposition will benefit the millions of consumers who need more flexibility when paying for crucial repairs. The technology seamlessly integrates with the existing systems of dealerships and OEMs, which combined with rigorous credit checking, offers merchants and dealerships a level of security previously unseen in the industry. We’re looking forward to working with the Bumper team and supporting the expansion of the business across Europe.”

Alexei Andreev, Managing Director, Autotech Ventures said:

 “We are very excited about the Buy Now Pay Later business model, which has empowered consumers all over the world. We believe that automotive repairs and the aftermarket are the next big BNPL frontiers, and that modern software and clever financial tools can unlock substantial value for industry participants. The Bumper team has succeeded in building an industry-leading product in the UK and we are eager to support its expansion to Continental Europe. Bumper’s business ties with leading automotive OEMs, deep integration with dealerships and repair quotation tools create formidable entry barriers for other players. Autotech Ventures is fully committed to providing business development resources and bringing new partnerships to accelerate Bumper’s growth”.

 (formerly Auto Service Finance) provides an interest-free digital payment platform for vehicle repairs and services, enabling owners to spread their costs. It also delivers an instalment financing solution using proprietary AI enabled technology to facilitate real-time lending decisions.

Bumper enables dealerships and garages to sell a larger proportion of red and amber work, reducing workshop downtime, with no risks or liabilities, while also creating greater customer loyalty.

Named eighth fastest growing fintech in the 2021 FT1000 rankings of Europe’s fastest growing companies, Bumper works with 2,500 franchised dealers, over 700 garages and major car brands across the UK and Republic of Ireland, helping over 100,000 drivers to fund their servicing and repair bills.

Bumper is based in London and Sheffield, with a tech development centre in Ankara, Turkey.

UK ‘Buy Now, Pay Later’ provider Bumper raises $12M Series A from Autotech, Porsche Ventures and Jaguar Land Rover

For drivers, car servicing is an important habit to get in to. This may sound like another item on a long to-do list, but regular servicing keeps your vehicle efficient, reliable, and may save you money in the long run.

, and is it a legal requirement? Bumper’s complete guide to car servicing has all the answers.

An interim service checks all fluids and parts that need replacing frequently. Typically, the cost of an interim service includes checking:

In addition to fast-wearing parts and fluids, the cost of an interim service will check for:

Do I need a full or interim service and how often should I book in?

It’s generally recommended that you take your car for a full service once a year. However, if you drive more than 2,000 miles per month it is a good idea to book an interim service in between.

You should also book in for an interim service if you notice your 

vehicle isn’t performing as it should be.

Regular servicing is the best way to keep your car performing as it should, reduce breakdowns and maintain safety. Learn more about whether servicing is worth it, 

There are a few factors that determine the cost of a service, including: type of service (as already discussed), outstanding warranty, quality of service, size of engine, availability of workshop, and the make and model of the vehicle.

Cars with more readily available and cheaper parts like Ford Fiesta and VW Golf will tend to have lower-cost services, whereas performance vehicles and electric vehicles may be on the more expensive end of servicing.

If your car is still under warranty, it is important to follow the service schedule of the manufacturer, or you may risk voiding your warranty.

Some garages will offer a discount for booking an MOT and service together. As well as saving you heaps of time this can also help to keep your car more efficient as more regular checks on your vehicle will result in greater performance.

The maximum MOT fee set by the government is £54.85 for a car and £29.65 for a standard motorcycle. Typically, garages will charge around £30 for just the MOT but discounts for booking together vary a lot from garage to garage. We were able to find a promotion on Google for as little as £10. However, most were around £20.

Remember, you will have the cost of any repairs on top of the fee for an MOT and service. The average cost of an MOT including the fee and cost of repairs is £326.85.

Unlike an MOT test you are not legally required to service your car. However, it is generally recommended that you take your car for a full service once every 12 months to maintain performance and safety.

How to check a vehicle’s service history?

A vehicle’s service history is a good way to tell how well a vehicle has been maintained. This can be extremely helpful when 

The first place to check a car’s service history is in the service history booklet, which should have been completed after each service.

If the owner doesn’t have a service history booklet you can check with the dealership and request a copy. It is important to note that if the previous owner has completed a service elsewhere, the main dealer won’t have a record of this.

Split the cost of your next service bill with Bumper

 of servicing, repairs, parts, and accessories completely interest-free. Available at 1000s of trusted partner garages nationwide, you can apply to get pre-approved for up to £3,000. Start your application by entering your registration on our homepage. 

Bumper’s Complete Guide to Servicing your Car

Find all the latest industry news and handiest car repair and service tips on the Bumper Blog. Want to get the Bumper view on something? Let us know and we’ll drop a blog post on it as soon as we can.