Automotive News Finance and Insurance Feed http://www.autonews.com News, blogs and commentary from the leader in North American automotive news en-us Mon, 23 Jan 2017 06:00:00 EST Ford Credit program makes dealer visit optional http://www.autonews.com/article/20170123/FINANCE_AND_INSURANCE/301239811/ford-credit-program-makes-dealer-visit-optional Mon, 23 Jan 2017 00:01:00 EST Ford Motor Credit customers will soon be able to purchase and finance new vehicles from a dealership's website, thereby making a visit to the store optional. Dealertrack aims to introduce 'seamless, easy' F&I platform http://www.autonews.com/article/20170123/RETAIL06/301239845/dealertrack-aims-to-introduce-seamless-easy-fi-platform Mon, 23 Jan 2017 00:01:00 EST Dealertrack's next-generation FandI system is a simpler, more deal-centric approach to working with Dealertrack's tools, such as credit applications, bureau reports, compliance tools, desking solutions and FandI product menus. N.J. law would restrict use of starter-interrupt devices http://www.autonews.com/article/20170120/FINANCE_AND_INSURANCE/170129973/n-j-law-would-restrict-use-of-starter-interrupt-devices Fri, 20 Jan 2017 17:23:55 EST The New Jersey Legislature has passed a bill that imposes disclosures and restrictions on the use of starter-interrupt devices, which auto lenders sometimes require be installed in vehicles when they approve loans to consumers with poor credit. Trended data better at assessing auto loan risk, analysis shows http://www.autonews.com/article/20170118/FINANCE_AND_INSURANCE/170119792/trended-data-better-at-assessing-auto-loan-risk-analysis-shows Wed, 18 Jan 2017 11:45:00 EST Auto loan accounts could jump 11 percent a year if lenders use trended data, according to Equifax. CFPB head may have violated U.S. law with lending rules, U.S. House Republicans claim http://www.autonews.com/article/20170118/OEM11/301189946/cfpb-head-may-have-violated-u-s-law-with-lending-rules-u-s-house Wed, 18 Jan 2017 00:01:00 EST In a blow against the Consumer Financial Protection Bureau just two days before President-elect Donald Trump takes office, U.S. Incentives to rise, be more strategic in 2017 http://www.autonews.com/article/20170118/FINANCE_AND_INSURANCE/301189996/incentives-to-rise-be-more-strategic-in-2017 Wed, 18 Jan 2017 11:45:00 EST Incentives not only will climb in 2017, they'll be more strategically placed, too, experts at the North American International Auto Show said. Shoppers will pay more for the right tech, study finds http://www.autonews.com/article/20170118/FINANCE_AND_INSURANCE/301189997/shoppers-will-pay-more-for-the-right-tech-study-finds Wed, 18 Jan 2017 11:45:00 EST Car shoppers, especially millennials, are willing to pay more for the technology they want in a vehicle, a study found. And those who plan to finance their vehicle are willing to pay slightly more than cash buyers. Auto shows are great places to expose consumers to F&I http://www.autonews.com/article/20170118/BLOG13/170119775/auto-shows-are-great-places-to-expose-consumers-to-fi Wed, 18 Jan 2017 11:45:00 EST Introducing FandI products to customers at an auto show, where they're relaxed and admiring cars they'd love to have, could lead to an easier sell for FandI managers down the line. Store not liable for unauthorized credit pull, but dealers should take heed http://www.autonews.com/article/20170118/LEGALFILE/170119793/store-not-liable-for-unauthorized-credit-pull-but-dealers-should Wed, 18 Jan 2017 12:00:00 EST What should a dealership do about a customer who comes into the showroom, authorizes a credit check, doesn't buy a vehicle at that time but starts shopping again months later? Consider getting another written authorization before pulling an updated... J.D. Power launches residual-value product http://www.autonews.com/article/20170118/RETAIL04/170119783/j-d-power-launches-residual-value-product Wed, 18 Jan 2017 09:11:01 EST J.D. Power has launched its own residual-value product, putting it in competition with TrueCar Inc.'s ALG and others at a time when lease originations are at record levels. Honda's Mendel criticizes ultralong loans http://www.autonews.com/article/20170116/OEM02/301169970/hondas-mendel-criticizes-ultralong-loans Mon, 16 Jan 2017 00:01:00 EST American Honda chief John Mendel decries the drift toward ultralong loan periods for car buyers as hurting the overall auto industry and suppressing new-car turnover. VW diesel settlement extends to auto lending http://www.autonews.com/article/20170113/RETAIL/170119867/vw-diesel-settlement-extends-to-auto-lending Fri, 13 Jan 2017 12:16:00 EST Volkswagen's settlement in connection with its diesel emissions scandal has spilled over into the vehicle-financing business. Lincoln Financial set to roll out lease mileage credit program http://www.autonews.com/article/20170111/FINANCE_AND_INSURANCE/170119941/lincoln-financial-set-to-roll-out-lease-mileage-credit-program Wed, 11 Jan 2017 11:47:25 EST Following a successful pilot, Lincoln Financial Services this year will roll out nationwide a 'Lincoln Miles' lease credit program that's aimed to minimize lease anxiety, Lincoln President Kumar Galhotra told Automotive News this week on... The cost of not knowing your F&I products http://www.autonews.com/article/20170111/BLOG13/301119943/the-cost-of-not-knowing-your-fi-products Wed, 11 Jan 2017 11:45:00 EST In a recent opinion piece, I was wrong in what I said extended service contracts cover. Smarter folks called me out on my error. The moral of the story: Know your FandI products inside out. Head of Wells Fargo Dealer Services to retire http://www.autonews.com/article/20170111/FINANCE_AND_INSURANCE/301119955/head-of-wells-fargo-dealer-services-to-retire Wed, 11 Jan 2017 11:30:00 EST Dawn Martin Harp, head of Wells Fargo Dealer Services, will retire April 1 after more than 20 years with the lender. Mitsubishi will stick with Ally for financing, for now http://www.autonews.com/article/20170111/FINANCE_AND_INSURANCE/301119956/mitsubishi-will-stick-with-ally-for-financing-for-now Wed, 11 Jan 2017 11:45:00 EST Mitsubishi Motors' alliance with Nissan Motor doesn't necessarily mean more U.S. business for Nissan Motor Acceptance -- yet. Auto finance forecast: Mostly sunny with a few dark clouds http://www.autonews.com/article/20170111/FINANCE_AND_INSURANCE/170119954/auto-finance-forecast-mostly-sunny-with-a-few-dark-clouds Wed, 11 Jan 2017 11:30:00 EST The forecast for auto finance in 2017 is mostly sunny. Head of Wells Fargo Dealer Services to retire http://www.autonews.com/article/20170110/OEM02/170119957/head-of-wells-fargo-dealer-services-to-retire Tue, 10 Jan 2017 18:59:03 EST Dawn Martin Harp, head of Wells Fargo Dealer Services, will retire April 1 after more than 20 years with the lender. BEST PRACTICES: Lexus dealership cultivates wrap artists http://www.autonews.com/article/20170109/RETAIL/301099998/best-practices-lexus-dealership-cultivates-wrap-artists Mon, 9 Jan 2017 00:01:00 EST JM Lexus began its own wrapping business, JM Custom Creations, with a Lexus LS wrapped in a chrome-like design. Now it takes personal requests from car buyers and commercial orders from outside companies. Ford targets stand-out customer experience http://www.autonews.com/article/20170109/FINANCE_AND_INSURANCE/301099985/ford-targets-stand-out-customer-experience Mon, 9 Jan 2017 00:01:00 EST Ford and Lincoln are celebrating 40 years of selling branded FandI products. Should car buyers pay with plastic? http://www.autonews.com/article/20170104/BLOG13/301049984/should-car-buyers-pay-with-plastic Wed, 4 Jan 2017 11:00:00 EST Credit card payments are convenient for the on-demand culture, but when it comes to purchasing a car, are they worth the risk for extra debt? Dealers would do well to provide customers the pros and cons of whipping out the plastic. Ally Financial agrees to finance up to $600 million in Carvana retail contracts http://www.autonews.com/article/20170104/FINANCE_AND_INSURANCE/170109969/ally-financial-agrees-to-finance-up-to-600-million-in-carvana-retail Wed, 4 Jan 2017 12:00:00 EST Ally Financial and online used-vehicle retailer Carvana have expanded their relationship to include vehicle financing. Ally said today it will finance up to $600 million in Carvana's retail contracts over the next year. Attracting women to F&I 'just makes sense' http://www.autonews.com/article/20170104/FINANCE_AND_INSURANCE/301049985/attracting-women-to-fi-just-makes-sense Wed, 4 Jan 2017 11:00:00 EST Men still dominate the FandI business, but women are looking to claim a spot, insiders say. 5 F&I trends to watch in 2017 http://www.autonews.com/article/20170104/FINANCE_AND_INSURANCE/301049525/5-fi-trends-to-watch-in-2017 Wed, 4 Jan 2017 12:15:00 EST Are there big changes in store for the finance and insurance office in 2017? Here are five issues and trends to watch in the new year. Get personal to get buyers to protect tech http://www.autonews.com/article/20170104/FINANCE_AND_INSURANCE/301049988/get-personal-to-get-buyers-to-protect-tech Wed, 4 Jan 2017 00:01:00 EST When trying to convince customers of the importance of having an extended service contract to protect their tech-laden new vehicle, do your FandI managers spell out the intricacies of Bluetooth or stability control? If so, tell them to take a step... Credit repair specialist helps customers and her store http://www.autonews.com/article/20170104/FINANCE_AND_INSURANCE/301049987/credit-repair-specialist-helps-customers-and-her-store Wed, 4 Jan 2017 00:01:00 EST Every couple of months, Jennifer Oribello spends time mining the docket of the U.S. Bankruptcy Court in Detroit and Googling contact information for bankruptcy attorneys. Building up F&I offerings and brand loyalty http://www.autonews.com/article/20170104/FINANCE_AND_INSURANCE/301049986/building-up-fi-offerings-and-brand-loyalty Wed, 4 Jan 2017 00:01:00 EST EasyCare believes it has a tool that will help dealerships build loyalty for their particular stores, not just the brands they're selling. Panelists to offer advice on avoiding F&I pitfalls http://www.autonews.com/article/20170102/FINANCE_AND_INSURANCE/301029939/panelists-to-offer-advice-on-avoiding-fi-pitfalls Mon, 2 Jan 2017 00:01:00 EST Terry Dortch, Greg Kostern and Tim Russi will join a panel devoted to dealerships' finance and insurance operations at the Automotive News Retail Forum on Jan. 26 in New Orleans. Comedian's blasting of subprime auto loans led top stories in 2016 http://www.autonews.com/article/20161228/FINANCE_AND_INSURANCE/161229903/comedians-blasting-of-subprime-auto-loans-led-top-stories-in-2016 Wed, 28 Dec 2016 10:30:00 EST News stories on a variety of topics caught the attention of Automotive News' FandI readers this year. After 40 years, Ford F&I keeps evolving, execs say http://www.autonews.com/article/20161228/FINANCE_AND_INSURANCE/312289981/after-40-years-ford-fi-keeps-evolving-execs-say Wed, 28 Dec 2016 10:30:00 EST Forty years ago last month, an evolving auto industry drove Ford and Lincoln to become pioneers among their peers in offering FandI products. How to engage customers and other savvy advice http://www.autonews.com/article/20161228/FINANCE_AND_INSURANCE/161229902/how-to-engage-customers-and-other-savvy-advice Wed, 28 Dec 2016 10:30:00 EST Each week the FandI Report features a savvy tip from an industry expert. This year FandI insiders shared advice on engaging customers, working with sales staffers, catering to millennials, sharing positive reviews and more. A look back at 5 F&I trends we watched in 2016 http://www.autonews.com/article/20161228/FINANCE_AND_INSURANCE/161229964/a-look-back-at-5-fi-trends-we-watched-in-2016 Wed, 28 Dec 2016 10:30:00 EST Last December, we pointed out five trends to watch in 2016. Two were tied to regulation. The others touched on digital FandI, lengthening loan terms and creditworthiness. Here's a look at how each trend fared this year. Early connections boost lease satisfaction http://www.autonews.com/article/20161228/FINANCE_AND_INSURANCE/312289980/early-connections-boost-lease-satisfaction Wed, 28 Dec 2016 10:30:00 EST Less than half the time, dealers and lenders reconnect with lease customers before the end of the lease, a new study by J.D. Power found. The study measured satisfaction of customers who are within six months of the end of their lease. Mercedes' IT overhaul benefits F&I http://www.autonews.com/article/20161228/FINANCE_AND_INSURANCE/312289982/mercedes-it-overhaul-benefits-fi Wed, 28 Dec 2016 10:30:00 EST Mercedes-Benz Financial Services USA completed a $150 million project this year to replace its legacy contract management system with updated technology that will enable it to speed FandI growth and bring products and services to market more... Will the tone on compliance change under Trump? http://www.autonews.com/article/20161228/BLOG13/312289999/will-the-tone-on-compliance-change-under-trump Wed, 28 Dec 2016 10:30:00 EST A year ago, we wrote that compliance was the theme of industry conferences in 2015. The discussion continued in 2016, but in 2017, will the new presidential administration change the tone? Gaining insight, theme by theme http://www.autonews.com/article/20161221/BLOG13/161229989/gaining-insight-theme-by-theme Wed, 21 Dec 2016 11:00:00 EST One of my favorite parts of the FandI beat is choosing a theme to explore every quarter in our FandI Insight special sections for print and online. App adds used buyers to franchised dealer matches http://www.autonews.com/article/20161221/FINANCE_AND_INSURANCE/161229963/app-adds-used-buyers-to-franchised-dealer-matches Wed, 21 Dec 2016 11:00:00 EST Starting today, AutoGravity, a smartphone app and web platform that connects new-vehicle buyers in California with franchised dealerships and finance offers, has extended its service to used-car buyers, the company told Automotive News. CarMax extends online financing program to all stores http://www.autonews.com/article/20161221/FINANCE_AND_INSURANCE/161229981/carmax-extends-online-financing-program-to-all-stores Wed, 21 Dec 2016 11:00:00 EST CarMax has extended its online financing, previously a pilot, to all of its stores. Separately, it said its finance arm's Tier 3 lending -- CarMax lingo for subprime -- declined in the third quarter, even as it raised its reserves against bad loans. F&I managers make good impression, survey finds http://www.autonews.com/article/20161221/FINANCE_AND_INSURANCE/312219747/fi-managers-make-good-impression-survey-finds Wed, 21 Dec 2016 00:01:00 EST FandI managers have long had a reputation as being disingenuous and pushy, maybe because of the stress many of them feel in the face of performance pressures, long hours and changing pay plans. But if FandI managers are stressed, they aren't showing it. 'In your blood': Few F&I pros quit the business http://www.autonews.com/article/20161221/FINANCE_AND_INSURANCE/312219746/in-your-blood-few-fi-pros-quit-the-business Wed, 21 Dec 2016 00:01:00 EST When FandI managers leave their dealerships, they likely are staying within the automotive industry, insiders say. Career goals: From quick stop to long haul http://www.autonews.com/article/20161221/FINANCE_AND_INSURANCE/312219745/career-goals-from-quick-stop-to-long-haul Wed, 21 Dec 2016 00:01:00 EST What lands FandI managers in FandI? Is the role their end goal, a steppingstone to a higher title or happenstance? The answer in part may lie in the store where they work. RouteOne acquires MaximTrak in bid to boost digital retail business http://www.autonews.com/article/20161220/RETAIL/161229995/routeone-acquires-maximtrak-in-bid-to-boost-digital-retail-business Tue, 20 Dec 2016 09:15:34 EST RouteOne has acquired FandI sales tool provider MaximTrak, effective as of now, RouteOne Holdings said Tuesday. Dealers must tackle F&I turnover http://www.autonews.com/article/20161219/FINANCE_AND_INSURANCE/312199992/dealers-must-tackle-fi-turnover Mon, 19 Dec 2016 00:01:00 EST Finance and insurance managers are leaving their jobs at an increasing rate and for a variety of reasons. But a significant cause of this disturbing trend is that the nature of the job has changed so much in recent years. Average U.S. transaction price hits record $34,077, Edmunds says http://www.autonews.com/article/20161215/RETAIL01/161219904/average-u-s-transaction-price-hits-record-34077-edmunds-says Thu, 15 Dec 2016 15:57:56 EST The 2016 average U.S. new-vehicle transaction price increased 2.7 percent from 2015 to an all-time high of $34,077 per vehicle, Edmunds.com reported Dec. 15. Equifax expands access to income, employment database http://www.autonews.com/article/20161215/FINANCE_AND_INSURANCE/161219931/equifax-expands-access-to-income-employment-database Thu, 15 Dec 2016 06:00:00 EST Dealers can now verify customers' income and employment through dealer service finance platforms they may already be using in their stores, Equifax said Dec. 15. Auto delinquencies predicted to rise http://www.autonews.com/article/20161214/FINANCE_AND_INSURANCE/161219941/auto-delinquencies-predicted-to-rise Wed, 14 Dec 2016 11:30:00 EST Auto loan delinquency rates will jump in 2017 as a result of higher interest rates and more subprime borrowers, TransUnion predicts. However, the rise is a natural effect of more subprime lending and is not a cause for concern, the company said. FCA, Hyundai promote online sales, offline financing http://www.autonews.com/article/20161214/BLOG13/161219943/fca-hyundai-promote-online-sales-offline-financing Wed, 14 Dec 2016 11:30:00 EST Last month, Fiat Chrysler Automobiles and Hyundai Motor America said they would offer an online car-buying experience. But in both cases, customers have to arrange financing at the dealership. Leasing satisfaction differs for luxury and mass-market customers http://www.autonews.com/article/20161214/FINANCE_AND_INSURANCE/161219950/leasing-satisfaction-differs-for-luxury-and-mass-market-customers Wed, 14 Dec 2016 11:00:00 EST With leasing accounting for nearly a third of new-vehicle transactions, lease-end customer satisfaction is becoming more important. But the keys to satisfaction differ for luxury and mass-market customers, J.D. Front-loading F&I cuts transaction time http://www.autonews.com/article/20161214/FINANCE_AND_INSURANCE/161219951/front-loading-fi-cuts-transaction-time Wed, 14 Dec 2016 11:00:00 EST Dealerships' transaction times are improving, but lengthy buying processes are still a pain point for stores, a survey by eLend Solutions shows. To gain efficiency, the company says, dealerships should move FandI to the front of the sales process. Aggressive credit unions move up in the auto financing world http://www.autonews.com/article/20161212/FINANCE_AND_INSURANCE/312129963/aggressive-credit-unions-move-up-in-the-auto-financing-world Mon, 12 Dec 2016 00:01:00 EST Credit unions on CU Direct's auto lending network as a group have become the second largest auto financing source, knocking Ally Financial to the No. 3 spot, CU Direct said.