Dealers and lenders are facing significant challenges following the Department of Defense's latest interpretation of the Military Lending Act, but until the DOD clarifies the interpretation, an act that was designed to protect service members may actually be hurting them.
A report by the National Fair Housing Alliance found discriminatory pricing tactics in car sales and financing by dealerships. The National Automobile Dealers Association says the report is not representative of "the majority of new-vehicle interactions.”
The Department of Defense's latest interpretation of the Military Lending Act, published last month, includes a murky set of rules that could retroactively put dealers and lenders in regulatory jeopardy, attorneys, compliance experts and industry trade associations say.
Auto loan interest rates at banks will rise this year, pushed by the Federal Reserve's expected rate increases. But heightened competition among auto lenders will mitigate banks' rate hikes, according to Bankrate.com.
Many of Daimler AG's mobility initiatives in the U.S. and internationally fall under its finance arm, Daimler Financial Services. Finance and mobility are often assumed to be separate tracks, but to Daimler's leaders, they merge.
Propensity360, a tool by Pearl Technology Holdings and Experian, helps dealerships target potential customers based on factors such as what they're currently paying or driving. It also helps stores zero in on which vehicles to stock.