What is an NBFI?

What is an NBFI?

NBFI stands for Non-Bank Financial Institution. In Sri Lanka, NBFIs are licensed by the Central Bank to provide credit, including the bulk of motor-vehicle leasing — both for personal-use cars and commercial fleets.

NBFIs differ from banks in scope and supervision but operate under the same regulatory rules for motor-vehicle credit, including the 60% LTV cap.

Major NBFIs we work with

• LOLC Finance
• LB Finance
• People’s Leasing
• HNB Finance (NBFI arm of HNB)
• Commercial Bank (NBFI line)
• Sampath Finance
• DFCC (NBFI line)
• Pan Asia Bank
• Seylan

Why NBFI vs bank matters

For a typical Sri Lankan motor-vehicle lease, the choice between an NBFI and a bank usually comes down to:

• Approval speed — NBFIs typically approve in 3–7 days vs 7–14 for banks
• Documentation — NBFIs are usually more flexible on income proof for self-employed buyers
• Tenure — NBFIs offer up to 7-year tenures more readily than banks
• Rate — NBFI rates are usually 50–150 basis points higher than equivalent bank rates

Car Dreams works with all major NBFIs and will pre-qualify you across multiple options before you commit to a car. The standard scenario we surface on every detail page — “40% down · 7-year lease at 13.5% APR” — reflects mid-market NBFI pricing.