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, 29 Apr 2016 06:00:00 EST Public retailers post FandI per-unit profit gains in Q1 http://www.autonews.com/article/20160427/FINANCE_AND_INSURANCE/304279997/public-retailers-post-fi-per-unit-profit-gains-in-q1 Wed, 27 Apr 2016 11:15:00 EST All six of the big public new-car retailers reported improved FandI profit per unit during the first quarter. FandI product sales drove most of the gains. Lithia Motors posted the greatest percentage increase in FandI revenue per new vehicle retailed at 9. GM Financial's prime originations surge thanks to GM subvention http://www.autonews.com/article/20160427/FINANCE_AND_INSURANCE/160429869/gm-financials-prime-originations-surge-thanks-to-gm-subvention Wed, 27 Apr 2016 11:15:00 EST GM Financial's lease originations more than doubled in the first quarter, resulting in more prime-credit customers. N.Y. Chevy, FCA dealer, guilty of fraud, faces prison http://www.autonews.com/article/20160427/LEGALFILE/304279998/n-y-chevy-fca-dealer-guilty-of-fraud-faces-prison Wed, 27 Apr 2016 11:15:00 EST The CEO and part owner of Chevrolet and FCA stores in upstate New York faces the possibility of prison and a fine when he is sentenced July 19 for conspiring to defraud a lender by submitting false information about buyers' incomes and down... On FandI front, AutoNation finds a groove http://www.autonews.com/article/20160427/BLOG13/304279999/on-fi-front-autonation-finds-a-groove Wed, 27 Apr 2016 11:15:00 EST Branded FandI products are working in AutoNation's favor and the nation's largest dealership group sees even more room to grow. Ford Credit COO on auto finance trends, leasing and subprime lending http://www.autonews.com/article/20160427/VIDEO/160429852/ford-credit-coo-on-auto-finance-trends-leasing-and-subprime-lending Wed, 27 Apr 2016 10:32:06 EST Joy Falotico, Ford Motor Credit COO and chairwoman of the American Financial Services Association's vehicle finance division, this year expects leasing to keep growing and subprime lending and term lengths to stay disciplined. Ally net income, originations down as it gets tougher on approvals http://www.autonews.com/article/20160426/FINANCE_AND_INSURANCE/160429877/ally-net-income-originations-down-as-it-gets-tougher-on-approvals Tue, 26 Apr 2016 12:36:46 EST Ally Financial took a more selective approach to its loan and lease approvals in the first quarter, leaving it with lower origination volume. Its net income also fell, but revenue rose, the company said Tuesday. As off-lease alarm sounds, industry has time to adjust http://www.autonews.com/article/20160425/RETAIL/304259976/as-off-lease-alarm-sounds-industry-has-time-to-adjust Mon, 25 Apr 2016 00:01:00 EST After years of high trade-in values, automakers and lenders must adjust to a flow of off-lease vehicles swinging from scarcity to oversupply. ALG chief: Millennials will drive strong leasing http://www.autonews.com/article/20160425/OEM02/304259993/alg-chief-millennials-will-drive-strong-leasing Mon, 25 Apr 2016 00:01:00 EST Millennials are paying off their student loans and moving out of their parents' basements. That cohort's emphasis on affordability will continue to drive lease growth, Jim Nguyen, the new head of ALG, predicts in this QandA. Ford Credit joins the crowd with 84-month loans http://www.autonews.com/article/20160420/FINANCE_AND_INSURANCE/304069994/ford-credit-joins-the-crowd-with-84-month-loans Wed, 20 Apr 2016 11:00:00 EST Ford Motor Credit has become the latest auto lender to offer 84-month financing. Ford's captive finance arm told dealers it was adding the seven-year term earlier this month, after finishing a yearlong pilot in Ford dealerships in the western U.S. At Ford Credit, a change of heart on long loans http://www.autonews.com/article/20160420/BLOG13/304209999/at-ford-credit-a-change-of-heart-on-long-loans Wed, 20 Apr 2016 11:30:00 EST Is heated competition forcing lenders to take up financing measures they wouldn't otherwise adopt? JMandA exec on auto finance trends, leasing, selling tactics http://www.autonews.com/article/20160420/VIDEO/160429990/jma-exec-on-auto-finance-trends-leasing-selling-tactics Wed, 20 Apr 2016 10:11:23 EST Forrest Heathcott, president of JMandA Group, has a lot to say about auto finance market trends, the effect of a surge in off-lease vehicles and strategies for educating and selling to millennials online. Court OKs dealer's suit charging ex-staffers with computer fraud http://www.autonews.com/article/20160420/LEGALFILE/160419857/court-oks-dealers-suit-charging-ex-staffers-with-computer-fraud Wed, 20 Apr 2016 11:00:00 EST A U.S. magistrate has given a Colorado dealer the green light to pursue a lawsuit accusing his former FandI manager and general manager of unauthorized access to his store's computer systems and of stealing trade secrets. Credit score tool drives sales at S.C. store http://www.autonews.com/article/20160420/FINANCE_AND_INSURANCE/160419960/credit-score-tool-drives-sales-at-s-c-store Wed, 20 Apr 2016 00:01:00 EST Equifax has partnered with Black Book to launch an online credit product that allows consumers to view their scores on a dealership's website without entering a Social Security number or date of birth. Too many used cars? Lease them http://www.autonews.com/article/20160416/RETAIL04/304189964/too-many-used-cars-lease-them Sat, 16 Apr 2016 00:01:00 EST To cope with an industrywide flood of 3.1 million off-lease vehicles returning to the market this year, some captives and other lenders are offering leases on used and certified pre-owned vehicles. CFPB's settlement eligibility letters should have a perjury clause http://www.autonews.com/article/20160413/BLOG13/304139996/-cfpbs-settlement-eligibility-letters-should-have-a-perjury-clause Wed, 13 Apr 2016 11:30:00 EST The CFPB should add a penalty of perjury clause in settlement eligibility letters to warn borrowers about the repercussions that come with misrepresenting race. Survey finds dealerships haven't conducted compliance training http://www.autonews.com/article/20160413/FINANCE_AND_INSURANCE/160419961/survey-finds-dealerships-havent-conducted-compliance-training Wed, 13 Apr 2016 11:00:00 EST Almost two-thirds of dealers think they're under regulators' scrutiny, but just 37 percent provide comprehensive compliance training to all of their employees, a survey found. Scalability tops new Exeter CEO's to-do list http://www.autonews.com/article/20160413/FINANCE_AND_INSURANCE/304139997/scalability-tops-new-exeter-ceos-to-do-list Wed, 13 Apr 2016 11:30:00 EST Obtaining scalability, easing regulatory risk and rolling out origination teams dedicated to specific groups of dealers are some of Jason Grubb's goals for his first year as CEO of subprime lender Exeter Finance Corp. CU Direct streamlines CUDL platform http://www.autonews.com/article/20160413/FINANCE_AND_INSURANCE/304139999/cu-direct-streamlines-cudl-platform Wed, 13 Apr 2016 11:30:00 EST CU Direct has enhanced its CUDL lending platform to make it easier for dealers to access pre-approvals, gain instant decisions on applications and get faster funding. Subprime credit apps fall at CarMax #8212; again http://www.autonews.com/article/20160413/FINANCE_AND_INSURANCE/304139998/subprime-credit-apps-fall-at-carmax-again Wed, 13 Apr 2016 11:30:00 EST For the second quarter in a row, CarMax's captive finance arm received fewer applications for loans from consumers with low credit scores than it received a year earlier. First Shift: Big cuts in Volkswagen bonuses http://www.autonews.com/article/20160413/VIDEO/304139956/first-shift-big-cuts-in-volkswagen-bonuses Wed, 13 Apr 2016 00:01:00 EST VW to slash bonuses for managers, dealer prepares scandal documentary; Tesla ditches grille with updated Model S; Ford opens GT ordering; Seeking allies for recall-repair push; Mild-hybrid tech. Expert says leasing is higher but also smarter http://www.autonews.com/article/20160411/FINANCE_AND_INSURANCE/304119998/expert-says-leasing-is-higher-but-also-smarter Mon, 11 Apr 2016 00:01:00 EST When leasing peaked in 1999 at 26 percent of new-car sales, it severely damaged residual values. Leasing is back to that level and beyond, but this time, it's smarter. VW ready to return to issuing bonds to help boost vehicle sales http://europe.autonews.com/article/20160411/ANE/160329941/vw-ready-to-return-to-issuing-bonds-to-help-boost-vehicle-sales Mon, 11 Apr 2016 00:01:00 EST VW plans to resume refinancing its key auto loan and leasing business by issuing bonds. Wells Fargo executive watchful of loan terms http://www.autonews.com/article/20160411/FINANCE_AND_INSURANCE/304119997/wells-fargo-executive-watchful-of-loan-terms Mon, 11 Apr 2016 00:01:00 EST Dawn Martin Harp, the head of dealer services with Wells Fargo, says her company has remained conservative when it comes to longer loans but understands that longer loans they are important to helping people afford vehicles as prices rise faster... For lenders, hassles but headway with CFPB http://www.autonews.com/article/20160411/FINANCE_AND_INSURANCE/304119999/for-lenders-hassles-but-headway-with-cfpb Mon, 11 Apr 2016 00:01:00 EST Some lenders say they've grown used to the Consumer Financial Protection Bureau. The CFPB conversation has even turned in auto lenders' favor in some ways, and it's making the industry better, experts say. Dad-vans are one thing, but 7-year loans for a Dodge Dart? http://www.autonews.com/article/20160407/BLOG06/160409819/dad-vans-are-one-thing-but-7-year-loans-for-a-dodge-dart Thu, 7 Apr 2016 16:09:15 EST You have to give Tim Kuniskis credit for one thing: He's not the guy who chooses the well-worn path when it comes to marketing. CFPB's Cordray defends regulation by enforcement http://www.autonews.com/article/20160407/RETAIL07/160409823/cfpbs-cordray-defends-regulation-by-enforcement Thu, 7 Apr 2016 13:45:00 EST CFPB Director Richard Cordray defended the bureau's use of regulation by enforcement during a Senate committee hearing, calling it 'good, solid law enforcement.' First Shift: 100-car self-driving test in China http://www.autonews.com/article/20160407/VIDEO/304079953/first-shift-100-car-self-driving-test-in-china Thu, 7 Apr 2016 00:01:00 EST Volvo to test up to 100 self-driving cars in China; Google car's new road; Airbag death toll rises; Honda Financial glitch; Silent supercars? Honda 'working feverishly' to fix customer billing glitch http://www.autonews.com/article/20160406/OEM/160409849/honda-working-feverishly-to-fix-customer-billing-glitch Wed, 6 Apr 2016 14:45:44 EST Honda Financial Services scrambled Wednesday to identify and repair a payment processing glitch on its website and servers that significantly overcharged consumers. Maserati taps Chase for private-label financing http://www.autonews.com/article/20160406/FINANCE_AND_INSURANCE/304069995/maserati-taps-chase-for-private-label-financing Wed, 6 Apr 2016 11:15:00 EST Maserati is partnering with Chase to establish a captivelike brand: Maserati Capital USA. Chase took over as Maserati's private-label financial provider on April 1 in more than 100 Maserati dealerships across the U.S. VW Credit will add credit tiers, branded FandI products, CEO says http://www.autonews.com/article/20160406/FINANCE_AND_INSURANCE/304069993/vw-credit-will-add-credit-tiers-branded-fi-products-ceo-says Wed, 6 Apr 2016 11:00:00 EST The new head of VW Credit spent most of his first quarter on the job visiting VW and Audi dealers across the country. Based in part on that feedback, VW Credit extended its Sunday hours. Ally, captives offer leases for used models http://www.autonews.com/article/20160406/FINANCE_AND_INSURANCE/160409867/ally-captives-offer-leases-for-used-models Wed, 6 Apr 2016 11:15:00 EST In response to a changing customer mindset and to handle the influx of off-lease vehicles this year, Ally Financial is offering its dealers a used-vehicle leasing product for 15 brands. For some, a shift in tone on CFPB http://www.autonews.com/article/20160406/BLOG13/304069992/for-some-a-shift-in-tone-on-cfpb Wed, 6 Apr 2016 11:00:00 EST Over the past few years, many auto lenders and dealers have considered the Consumer Financial Protection Bureau an enemy -- robbing dealers of their right to adjust retail margins on auto loans and charging lenders with claims of discriminatory... Used-car values, residuals, leasing linked http://www.autonews.com/article/20160406/FINANCE_AND_INSURANCE/304069998/used-car-values-residuals-leasing-linked Wed, 6 Apr 2016 00:01:00 EST Used-vehicle values, residuals and leasing are inseparable. When one hurts, the others suffer, too, analysts say. What traits make a good FandI manager? http://www.autonews.com/article/20160406/FINANCE_AND_INSURANCE/304069997/what-traits-make-a-good-fi-manager Wed, 6 Apr 2016 00:01:00 EST Blake Bailey, finance director at Hennessy Mazda-Buick-GMC in Morrow, Ga., wants FandI managers who are warm, inviting, knowledgeable and adept at helping customers identify their needs. If new-vehicle sales stall, will FandI step up? http://www.autonews.com/article/20160406/FINANCE_AND_INSURANCE/304069996/if-new-vehicle-sales-stall-will-fi-step-up Wed, 6 Apr 2016 00:01:00 EST Dealerships have long relied on FandI departments for profit. If new-vehicle sales decrease or plateau, FandI departments could be part of the solution to securing healthy dealership profits -- but not on their own, industry insiders say. U.S., VW may not reach emissions deal by April 21, EPA chief says http://www.autonews.com/article/20160405/OEM/160409894/u-s-vw-may-not-reach-emissions-deal-by-april-21-epa-chief-says Tue, 5 Apr 2016 11:32:05 EST The top U.S. First Shift: Way to pump up fuel cells? http://www.autonews.com/article/20160404/VIDEO/304049933/first-shift-way-to-pump-up-fuel-cells Mon, 4 Apr 2016 07:45:00 EST Toyota's fuel-cell growth theory: Location matters; Good side to leasing, Experian exec says; Ally offering used-vehicle leases; Ford's Salute to Dealers. Experts: Public groups to take a back seat in '16 buy-sells http://www.autonews.com/article/20160404/OEM02/304049957/experts-public-groups-to-take-a-back-seat-in-16-buy-sells Mon, 4 Apr 2016 00:01:00 EST Well-capitalized private dealership groups and outside buyers, such as family offices and private-equity firms, will dominate buy-sell transactions this year - as publicly traded retailers dial back, buy-sell advisers predict. Racketeering lawsuit against GM, Ally tossed for tardiness http://www.autonews.com/article/20160404/LEGALFILE/304049978/racketeering-lawsuit-against-gm-ally-tossed-for-tardiness Mon, 4 Apr 2016 00:01:00 EST A San Francisco area dealership waited too long to file its lawsuit accusing General Motors and Ally Financial Inc. Ally offers leases for select used cars, trucks http://www.autonews.com/article/20160404/FINANCE_AND_INSURANCE/304049959/ally-offers-leases-for-select-used-cars-trucks Mon, 4 Apr 2016 00:01:00 EST In response to a changing customer mindset and to handle the influx of off-lease vehicles this year, Ally Financial is offering its dealers a used-vehicle leasing product. AutoNews Now: March U.S. sales winners, losers http://www.autonews.com/article/20160402/VIDEO/304029960/autonews-now-march-u-s-sales-winners-losers Sat, 2 Apr 2016 07:45:00 EST March sales winners, losers; 'Root cause' of Mazda's drop; VW dealers try to avoid lawsuit; Off-lease flood forecast; N.Y.'s Kitty Van Bortel named Time Dealer of the Year. For lenders, hassles but headway http://www.autonews.com/article/20160401/RETAIL06/304029984/for-lenders-hassles-but-headway Fri, 1 Apr 2016 18:37:52 EST The Consumer Financial Protection Bureau has rocked the auto finance industry over the past few years. But now, some lenders say they've grown used to it. Your data, your responsibility http://www.autonews.com/article/20160401/RETAIL06/304029988/your-data-your-responsibility Fri, 1 Apr 2016 18:37:50 EST Dealers own the data they gather from consumers and are responsible for protecting it, a panel concludes. Captive COO focuses on Ford plan http://www.autonews.com/article/20160331/RETAIL06/304019961/captive-coo-focuses-on-ford-plan Thu, 31 Mar 2016 18:52:53 EST Compliance, achieving portfolio goals and evolving to support Ford's transition to an auto company and a mobility company are some of Joy Falotico's goals in her first year as Ford Motor Credit's COO. Ally rolls out used-vehicle leases http://www.autonews.com/article/20160331/RETAIL06/304019955/ally-rolls-out-used-vehicle-leases Thu, 31 Mar 2016 20:22:49 EST In response to a changing customer mindset and to handle the influx of off-lease vehicles this year, Ally Financial is offering its dealers a used-vehicle leasing product, the lender told Automotive News. Ally nearly halts losses in its floorplan share http://www.autonews.com/article/20160331/RETAIL06/304019979/ally-nearly-halts-losses-in-its-floorplan-share Thu, 31 Mar 2016 14:00:00 EST In the fight for floorplan business, Ally is steadying its ground. Ally nearly stopped a five-year slide in floorplan share for General Motors and Fiat Chrysler dealers in 2015. Lenders panel says worries overblown http://www.autonews.com/article/20160331/RETAIL06/304019960/lenders-panel-says-worries-overblown Thu, 31 Mar 2016 19:22:49 EST A panel of economists and industry leaders told auto lenders gathered for an annual conference that the auto market and auto lending remain strong, with numerous indicators pointing to a solid 2016. TrueCar shelves plans for online financing http://www.autonews.com/article/20160330/FINANCE_AND_INSURANCE/160329844/truecar-shelves-plans-for-online-financing Wed, 30 Mar 2016 11:30:00 EST Whatever plans or discussions TrueCar previously may have had about offering TrueLoans or TrueLeases online, those now are 'off the table,' CEO Chip Perry says. Autos are a small part of military complaints to CFPB http://www.autonews.com/article/20160330/BLOG13/303309997/autos-are-a-small-part-of-military-complaints-to-cfpb Wed, 30 Mar 2016 11:30:00 EST The latest CFPB report on complaints filed by service members shows, once again, that dealerships and auto loans are far, far down on the list of financial issues that service members complain about. For Idaho dealer, a costly lesson on proper documentation and spot deliveries http://www.autonews.com/article/20160330/LEGALFILE/303309996/for-idaho-dealer-a-costly-lesson-on-proper-documentation-and-spot Wed, 30 Mar 2016 10:45:00 EST Failure to file the proper documentation with state regulators can have adverse consequences for dealerships, a bankruptcy judge has ruled in an Idaho spot delivery case. For Dennis Dillon Auto Park and Truck Center Inc.