Automotive News Finance and Insurance Feed http://www.autonews.com News, blogs and commentary from the leader in North American automotive news en-us Fri, 1 Jul 2016 06:00:00 EST Former N.Y. Nissan dealer to repay customers nearly $102,000 for illegal fees, fraud http://www.autonews.com/article/20160629/RETAIL/160629820/former-n-y-nissan-dealer-to-repay-customers-nearly-102000-for Wed, 29 Jun 2016 14:49:10 EST A former New York dealer has agreed to pay $101,986 in restitution to 119 consumers for charging them illegal fees and employing deceptive sales and advertising tactics, New York Attorney General Eric Schneiderman said. Industry women promote financial literacy http://www.autonews.com/article/20160629/FINANCE_AND_INSURANCE/306299996/industry-women-promote-financial-literacy Wed, 29 Jun 2016 00:01:00 EST With briefcases stuffed with lesson plans, interactive finance timelines and even cardboard banks, female dealers and auto industry leaders are spreading financial literacy to create an educated future-car buyer. A robust compliance process reaps more than legal benefits, experts say http://www.autonews.com/article/20160629/FINANCE_AND_INSURANCE/306299993/a-robust-compliance-process-reaps-more-than-legal-benefits-experts Wed, 29 Jun 2016 12:00:00 EST Compliance training doesn't always result in a compliant business. A culture of compliance comes out of a set of rules, training, employee awareness and practices, and engagement has to start with executives at the top. For dealers, compliance is an 'everyday business strategy' http://www.autonews.com/article/20160629/FINANCE_AND_INSURANCE/160629843/for-dealers-compliance-is-an-everyday-business-strategy Wed, 29 Jun 2016 11:00:00 EST In his new role as vice president of compliance at EFG Cos., Steve Roennau aims to tap his auto retail and finance know-how, including what he learned as an FandI manager, to help dealerships create a consistent compliance game plan. EchoPark F&I process to echo across Sonic http://www.autonews.com/article/20160629/FINANCE_AND_INSURANCE/306299994/echopark-fi-process-to-echo-across-sonic Wed, 29 Jun 2016 00:01:00 EST Sonic Automotive's finance and insurance sales process at its EchoPark used-only dealerships has been so successful in lifting FandI revenue per vehicle, the company plans to expand the process to its 99 franchised stores. Car-sharing, autonomous driving to reshape auto finance, study says http://www.autonews.com/article/20160629/FINANCE_AND_INSURANCE/306299992/car-sharing-autonomous-driving-to-reshape-auto-finance-study-says Wed, 29 Jun 2016 11:00:00 EST A new auto finance ecosystem is on the horizon, with the structure and timing dependent on the shift to car sharing and autonomous driving, according to a new study published by Deloitte Consulting. Kudos to Ford Credit for trying something new http://www.autonews.com/article/20160629/BLOG13/306299990/kudos-to-ford-credit-for-trying-something-new Wed, 29 Jun 2016 12:00:00 EST Piecing together the car sharing and profitability puzzle for the auto industry is exciting, but it's also a time to experiment. Public groups optimistic on F&I revenue growth http://www.autonews.com/article/20160629/FINANCE_AND_INSURANCE/306299995/public-groups-optimistic-on-fi-revenue-growth Wed, 29 Jun 2016 00:01:00 EST All six large public new-car retailers lifted FandI revenue per vehicle through March, and most expect growth to continue. Ally shareholder Feinberg resigns from board after showdown with advisory firm http://www.autonews.com/article/20160628/OEM02/160629848/ally-shareholder-feinberg-resigns-from-board-after-showdown-with Tue, 28 Jun 2016 13:53:32 EST Stephen Feinberg, Ally Financial's third-largest shareholder, stepped down from the auto lender's board after an investor-advisory firm faulted his ability to use the stock as collateral for debt. These guys want your used-vehicle sales, profits http://www.autonews.com/article/20160627/RETAIL04/306279982/these-guys-want-your-used-vehicle-sales-profits Mon, 27 Jun 2016 00:01:00 EST Beepi. Shift. Carvana. Vroom. Don't let the clever names fool you. These tech start-ups aim to take a bite out of the used-vehicle retail industry's lunch. Credit mix in auto lending remains stable, Equifax says http://www.autonews.com/article/20160622/FINANCE_AND_INSURANCE/160629944/credit-mix-in-auto-lending-remains-stable-equifax-says Wed, 22 Jun 2016 11:00:00 EST What's the main trend in auto finance over the past four years? Stability, Equifax says. Over the past four years, the credit mix among new-vehicle loans has remained steady, providing stability to the market. CarMax Auto Finance income takes a tumble http://www.autonews.com/article/20160622/FINANCE_AND_INSURANCE/306229992/carmax-auto-finance-income-takes-a-tumble Wed, 22 Jun 2016 11:45:00 EST Income at CarMax's captive tumbles in the same three month period that the used car retailer's floor traffic declines and sales to customers with low credit scores dip. Better, but still behind http://www.autonews.com/article/20160622/BLOG13/306229997/better-but-still-behind Wed, 22 Jun 2016 11:45:00 EST Automakers trail lenders in the number of women in leadership positions, a study shows. GWC targets new-car dealers' high-mileage trade-ins http://www.autonews.com/article/20160622/FINANCE_AND_INSURANCE/306229993/gwc-targets-new-car-dealers-high-mileage-trade-ins Wed, 22 Jun 2016 11:00:00 EST GWC Warranty is hoping its new protection offerings for high-mileage cars and light trucks will appeal to new-car dealerships adjusting to an increasing number of used vehicles on their lots. Fewer customers may mean more time to sell http://www.autonews.com/article/20160622/FINANCE_AND_INSURANCE/306229996/fewer-customers-may-mean-more-time-to-sell Wed, 22 Jun 2016 00:01:00 EST Dealers wince at the prospect of slowing vehicle sales. But there could be a bright spot: With fewer customers, FandI managers will have more time to focus on sales penetration for add-on products. F&I strategies for slow-growth days http://www.autonews.com/article/20160622/FINANCE_AND_INSURANCE/306229994/fi-strategies-for-slow-growth-days Wed, 22 Jun 2016 00:01:00 EST FandI profit likely hasn't reached its peak, insiders say, but most agree that its growth will slow. Don&'t ignore F&I customers on used-car lot http://www.autonews.com/article/20160622/FINANCE_AND_INSURANCE/306229995/don-t-ignore-fi-customers-on-used-car-lot Wed, 22 Jun 2016 00:01:00 EST If dealerships don't approach pre-owned car buyers with the same enthusiasm they show their new-car buyers, they're losing money. That's especially important now that stores are seeing a major influx of off-lease and other pre-owned cars. No takers for Ford's lease sharing plan http://www.autonews.com/article/20160620/FINANCE_AND_INSURANCE/160619877/no-takers-for-fords-lease-sharing-plan Mon, 20 Jun 2016 00:01:00 EST In March, Ford Credit launched Ford Credit Link, a pilot lease sharing program that allows three to six customers to share a lease, scheduling their driving time and dividing payments any way they'd like. F&I managers, pick up the phone, trainer urges http://www.autonews.com/article/20160615/FINANCE_AND_INSURANCE/306159998/fi-managers-pick-up-the-phone-trainer-urges Wed, 15 Jun 2016 11:30:00 EST More and more often, consumers want to arrange their car purchases on their terms. That means much of the communication could happen via email or by phone rather than during a traditional showroom tour. Where does that leave FandI managers? When an 84-month loan makes sense http://www.autonews.com/article/20160615/FINANCE_AND_INSURANCE/306159997/when-an-84-month-loan-makes-sense Wed, 15 Jun 2016 11:30:00 EST Auto loans lasting seven years or longer have created a stir within the industry, with some lenders testing extended terms and others keeping a distance. Take a lesson from the top closers http://www.autonews.com/article/20160615/BLOG13/306159995/take-a-lesson-from-the-top-closers Wed, 15 Jun 2016 11:30:00 EST Choose your words wisely, dealers. Your email diction could make or break a deal. Altima deal was 'bad bargain,' but Nissan dealer disclosed terms, court rules http://www.autonews.com/article/20160615/LEGALFILE/306159996/altima-deal-was-bad-bargain-but-nissan-dealer-disclosed-terms-court Wed, 15 Jun 2016 11:30:00 EST While a Nissan dealership in Wallingford, Conn. Why overtime pay for F&I managers is unlikely http://www.autonews.com/article/20160615/FINANCE_AND_INSURANCE/160619942/why-overtime-pay-for-fi-managers-is-unlikely Wed, 15 Jun 2016 11:30:00 EST A pending U.S. Supreme Court decision in a case brought by dealership service advisers likely won't open the door for FandI managers to get overtime pay. A ruling is expected this summer. Fewer customers may mean more time to sell http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139986/fewer-customers-may-mean-more-time-to-sell Mon, 13 Jun 2016 00:01:00 EST Dealers wince at the prospect of slowing vehicle sales. But there could be a bright spot: With fewer customers, FandI managers will have more time to focus on sales penetration for add-on products. F&I strategies for slow-growth days http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139985/fi-strategies-for-slow-growth-days Mon, 13 Jun 2016 00:01:00 EST FandI profit likely hasn't reached its peak, insiders say, but most agree that its growth will slow. Promote from within and train, train, train http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139972/promote-from-within-and-train-train-train Mon, 13 Jun 2016 00:01:00 EST Kelly Automotive Group in Danvers, Mass., raised FandI revenue per new and used vehicle retailed by half last year. Here's how the group did it. Industry experts see limited F&I growth ahead http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139987/industry-experts-see-limited-fi-growth-ahead Mon, 13 Jun 2016 00:01:00 EST Auto dealers' FandI profit per vehicle is booming. Most industry insiders expect per-unit FandI profit growth to continue, but they say the period of double-digit increases is over. F&I revenue soars among big retailers http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139980/fi-revenue-soars-among-big-retailers Mon, 13 Jun 2016 00:01:00 EST Sales growth in the U.S. auto market may be slowing down, but finance and insurance revenue rose by double digits last year at the 150 largest dealership groups, which took in a combined $1 billion more than they did in 2014. Dealers help promote financial literacy http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139988/dealers-help-promote-financial-literacy Mon, 13 Jun 2016 00:01:00 EST With briefcases stuffed with lesson plans, interactive finance timelines and even cardboard banks, female dealers and auto industry leaders are spreading financial literacy to create an educated future-car buyer. EchoPark F&I process to echo across Sonic http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139989/echopark-fi-process-to-echo-across-sonic Mon, 13 Jun 2016 00:01:00 EST Sonic Automotive's finance and insurance sales process at its EchoPark used-only dealerships has been so successful in lifting FandI revenue per vehicle, the company plans to expand the process to its 99 franchised stores. Don&'t ignore F&I customers on used-car lot http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139984/don-t-ignore-fi-customers-on-used-car-lot Mon, 13 Jun 2016 00:01:00 EST If dealerships don't approach pre-owned car buyers with the same enthusiasm they show their new-car buyers, they're losing money. That's especially important now that stores are seeing a major influx of off-lease and other pre-owned cars. Public groups optimistic on F&I revenue growth http://www.autonews.com/article/20160613/FINANCE_AND_INSURANCE/306139981/public-groups-optimistic-on-fi-revenue-growth Mon, 13 Jun 2016 00:01:00 EST All six large public new-car retailers lifted FandI revenue per vehicle through March, and most expect growth to continue. Leasing hits high in Q1 with gains across the credit spectrum http://www.autonews.com/article/20160608/FINANCE_AND_INSURANCE/160609873/leasing-hits-high-in-q1-with-gains-across-the-credit-spectrum Wed, 8 Jun 2016 11:45:00 EST Automotive leasing levels hit an all-time high in the first quarter, with consumers of all credit tiers more inclined to lease, Experian says. RouteOne's new CEO has big plans http://www.autonews.com/article/20160608/FINANCE_AND_INSURANCE/306089997/routeones-new-ceo-has-big-plans Wed, 8 Jun 2016 12:00:00 EST In his new role, RouteOne CEO Justin Oesterle will focus on objectives ranging from achieving operational goals to improving point-of-sale tools to retaining the culture of employee respect and customer service instilled by the company's former... Charging for prepaid maintenance trumps giving it away http://www.autonews.com/article/20160608/FINANCE_AND_INSURANCE/306089998/charging-for-prepaid-maintenance-trumps-giving-it-away Wed, 8 Jun 2016 00:01:00 EST HandH Chevrolet found that charging customers for prepaid maintenance plans produced better results overall than giving the plans away for free. Prime borrowers poised to reshape used leasing, financing http://www.autonews.com/article/20160608/BLOG13/306089995/prime-borrowers-poised-to-reshape-used-leasing-financing Wed, 8 Jun 2016 11:45:00 EST Prime borrowers, the most attractive candidates to auto lenders, aren't unusual. A low monthly payment is music to their ears, too. TransUnion, FICO launch scoring model that better reflects car buyers' credit histories http://www.autonews.com/article/20160608/FINANCE_AND_INSURANCE/306089996/transunion-fico-launch-scoring-model-that-better-reflects-car-buyers Wed, 8 Jun 2016 12:00:00 EST TransUnion and FICO have teamed to provide auto lenders and dealers with an industry-specific credit score based on borrowers' historical, or trended, data to more accurately and efficiently communicate a borrower's risk. NADA names Fong to head dealership operations http://www.autonews.com/article/20160607/OEM02/160609881/nada-names-fong-to-head-dealership-operations Tue, 7 Jun 2016 15:30:22 EST The National Automobile Dealers Association named Peter Fong, 52, as senior vice president of dealership operations. He replaces John Lyboldt, who left NADA to become president of the Truckload Carriers Association. Auto financiers tapping the brakes on subprime lending http://www.autonews.com/article/20160603/RETAIL/160609932/auto-financiers-tapping-the-brakes-on-subprime-lending Fri, 3 Jun 2016 14:04:32 EST Executives at some of the biggest banks in auto lending are tapping the brakes on subprime lending, especially at the lower end of the credit spectrum. But they insist the credit environment is good for auto lending overall. AutoNews Now: Loan market 'overheated,' execs say http://www.autonews.com/article/20160603/VIDEO/306039939/autonews-now-loan-market-overheated-execs-say Fri, 3 Jun 2016 00:01:00 EST Auto loan market overheated, bank execs say; Report: Ad firms pad bottom line; Canadian workers push for plant spending; Google car's big honking lesson; Nissan's spin on Donut Day. Leasing, average auto loan amounts at record levels, Experian says http://www.autonews.com/article/20160602/FINANCE_AND_INSURANCE/160609954/leasing-average-auto-loan-amounts-at-record-levels-experian-says Thu, 2 Jun 2016 15:11:54 EST Automotive leasing levels, average loan amount and average monthly payments each reached highs in the first quarter, Experian said in its latest State of the Automotive Finance Market report, released today. Auto lending market 'a little stressed,' JPMorgan Chase CEO Dimon says http://www.autonews.com/article/20160602/RETAIL/160609955/auto-lending-market-a-little-stressed-jpmorgan-chase-ceo-dimon-says Thu, 2 Jun 2016 14:09:33 EST JPMorgan Chase CEO Jamie Dimon said the market for U.S. automobile lending is 'a little stressed' and that he foresees higher losses ahead for some competitors. Dealers, consumers in sync on desire for used leasing, survey shows http://www.autonews.com/article/20160601/FINANCE_AND_INSURANCE/160539989/dealers-consumers-in-sync-on-desire-for-used-leasing-survey-shows Wed, 1 Jun 2016 11:30:00 EST Three auto lenders are offering used-vehicle and certified pre-owned vehicle leases, and it's piqued the interest of dealers and consumers, a survey by Swapalease.com shows. Making peace with a reduced role for dealer reserve http://www.autonews.com/article/20160601/FINANCE_AND_INSURANCE/306019988/making-peace-with-a-reduced-role-for-dealer-reserve Wed, 1 Jun 2016 11:30:00 EST The evidence is anecdotal, but FandI managers are making their peace with a reduced role for dealer reserve. Mortgages, auto loan originations linked, study finds http://www.autonews.com/article/20160601/FINANCE_AND_INSURANCE/306019987/mortgages-auto-loan-originations-linked-study-finds Wed, 1 Jun 2016 11:30:00 EST To gain customers, dealers and auto lenders should cast a wide net. Consumers borrowing in the mortgage space are likely to be shopping for an auto loan, according to a new TransUnion study. Another reason to pitch the value of service contracts http://www.autonews.com/article/20160601/BLOG13/306019986/another-reason-to-pitch-the-value-of-service-contracts Wed, 1 Jun 2016 11:30:00 EST Most consumers weigh the cost of replacement parts in their vehicle purchase decision, a recent survey shows. That could mean an opportunity for FandI managers to sell more service contracts. Toyota Financial to provide leasing options for Uber drivers http://www.autonews.com/article/20160525/FINANCE_AND_INSURANCE/305259998/toyota-financial-to-provide-leasing-options-for-uber-drivers Wed, 25 May 2016 11:45:00 EST Toyota Motor Corp. has formed a partnership with Uber to provide flexible leasing options to the ride-sharing company's drivers. Toyota will begin the partnership on a trial basis in countries where ride-sharing is expanding. Online lender Avant scraps auto loan refinancing plans http://www.autonews.com/article/20160525/FINANCE_AND_INSURANCE/160529945/online-lender-avant-scraps-auto-loan-refinancing-plans Wed, 25 May 2016 11:30:00 EST Online lender Avant is calling off plans to offer auto loan refinancing as it faces setbacks in gaining affordable capital to make credit available to consumer and business segments over the Internet. Leasing drives boom in outstanding Q1 auto loan balances http://www.autonews.com/article/20160525/FINANCE_AND_INSURANCE/305259997/leasing-drives-boom-in-outstanding-q1-auto-loan-balances Wed, 25 May 2016 11:45:00 EST The combined outstanding balance for auto loans and leases jumped 12 percent in the first quarter, bolstered by a 28 percent surge in leasing, according to part one of Experian's latest State of the Automotive Finance Market report. Toyota's Green Bonds provide the green for auto lending http://www.autonews.com/article/20160525/BLOG13/160529929/toyotas-green-bonds-provide-the-green-for-auto-lending Wed, 25 May 2016 10:58:33 EST Toyota Motor Financial's Green Bonds have proved to be a successful innovation and deserve a salute.