Automotive News Finance and Insurance Feed http://www.autonews.com News, blogs and commentary from the leader in North American automotive news en-us Tue, 26 Sep 2017 06:00:00 EST Triple damage award stands http://www.autonews.com/article/20170925/LEGALFILE/170929956/triple-damage-award-stands Mon, 25 Sep 2017 00:01:00 EST A Little Falls, N.J., Toyota dealership that canceled a RAV4 owner's extended service contract without telling her or sending a refund also failed to persuade an appeals court to overturn her triple damage award. Skipping background checks could be costly http://www.autonews.com/article/20170920/FINANCE_AND_INSURANCE/309209956/skipping-background-checks-could-be-costly Wed, 20 Sep 2017 00:01:00 EST Conducting criminal background checks on potential hires is a best practice, experts say. Yet many dealers skip them. Why? Big Brother is watching, but should he? http://www.autonews.com/article/20170920/FINANCE_AND_INSURANCE/309209955/big-brother-is-watching-but-should-he Wed, 20 Sep 2017 00:01:00 EST As awareness of fraud and identity theft intensifies, will dealerships latch on to video recording as a way to deter misbehavior in the FandI office? Transaction videos have a downside, experts say. A con artist on your store's staff? It happens http://www.autonews.com/article/20170920/FINANCE_AND_INSURANCE/309209958/a-con-artist-on-your-stores-staff-it-happens Wed, 20 Sep 2017 00:01:00 EST Unsavory practices in dealership FandI departments still happen. But training, check-and-balance systems, better pay plans and just being more vigilant can discourage rogue behavior, industry insiders say. Think floorplan fraud is gone? Think again http://www.autonews.com/article/20170920/FINANCE_AND_INSURANCE/309209959/think-floorplan-fraud-is-gone-think-again Wed, 20 Sep 2017 00:01:00 EST Floorplan fraud, while becoming less common, according to experts, will probably never fully disappear. How to get sales staffers to embrace FandI http://www.autonews.com/article/20170920/FINANCE_AND_INSURANCE/170929983/how-to-get-sales-staffers-to-embrace-fi Wed, 20 Sep 2017 11:37:26 EST FandI managers can get sales staff to help with FandI by learning about their goals and investing in their training. Against the clock, one approach doesn't fit all http://www.autonews.com/article/20170920/BLOG13/170929986/against-the-clock-one-approach-doesnt-fit-all Wed, 20 Sep 2017 11:31:52 EST If a hybrid sales-FandI model isn't the answer to smoother, faster process, what is? Unconcerned about credit http://www.autonews.com/article/20170920/FINANCE_AND_INSURANCE/170929985/unconcerned-about-credit Wed, 20 Sep 2017 11:33:41 EST A new survey found franchised dealers don't worry much about credit availability for themselves or their customers, in contrast to their independent-dealer rivals. Hyundai Capital America joins with AutoGravity http://www.autonews.com/article/20170920/FINANCE_AND_INSURANCE/170929984/hyundai-capital-america-joins-with-autogravity Wed, 20 Sep 2017 11:36:51 EST Consumers looking to buy a Hyundai, Kia or Genesis model now can shop for and finance their vehicles through Hyundai Capital America using AutoGravity's mobile app and web platform. The partnership launched this month, beginning in California. Band together to fight finance fraud, ID theft http://www.autonews.com/article/20170918/FINANCE_AND_INSURANCE/170929991/band-together-to-fight-finance-fraud-id-theft Mon, 18 Sep 2017 00:01:00 EST Despite risks, auto lenders need to push forward quickly in a group effort to battle finance fraud and identity theft. Touting credit options? Mail alone won't cut it, Experian says http://www.autonews.com/article/20170913/FINANCE_AND_INSURANCE/170919867/touting-credit-options-mail-alone-wont-cut-it-experian-says Wed, 13 Sep 2017 11:27:57 EST Having a cohesive marketing strategy across multiple platforms is critical for lenders and dealers looking to push captivating loan offers to consumers, Experian's Bill Butler says. How long will terms stretch? http://www.autonews.com/article/20170913/BLOG13/170919869/how-long-will-terms-stretch Wed, 13 Sep 2017 11:23:59 EST With a third of new-vehicle loans now at 73 to 84 months, will even longer loans become commonplace? Incentive money shifts to low-interest loans, away from leases http://www.autonews.com/article/20170913/FINANCE_AND_INSURANCE/170919868/incentive-money-shifts-to-low-interest-loans-away-from-leases Wed, 13 Sep 2017 11:26:31 EST Automakers and their captive finance companies are carefully steering incentive money to low-interest loans instead of cut-rate leases, analysts say. Outlook for auto delinquencies improves http://www.autonews.com/article/20170913/FINANCE_AND_INSURANCE/170919864/outlook-for-auto-delinquencies-improves Wed, 13 Sep 2017 11:42:30 EST The 30-day delinquency rate has improved, and 60-day delinquencies likely will follow suit as prime originations rise, Experian says. Citizens Bank retreats on auto loans http://www.autonews.com/article/20170913/FINANCE_AND_INSURANCE/170919870/citizens-bank-retreats-on-auto-loans Wed, 13 Sep 2017 11:15:34 EST Citizens Bank confirmed it has exited auto lending in 20 states outside the Northeast, Mid-Atlantic and Midwest this year to pursue a strategy of higher returns on auto loans instead of greater volume. Scott Painter venture Fair takes on auto leasing http://www.autonews.com/article/20170911/RETAIL07/170919965/scott-painter-venture-fair-leasing Mon, 11 Sep 2017 00:01:00 EST The new venture from Scott Painter, former TrueCar CEO, markets cars based on monthly payments and no-cost returns. The faces of FandI fraud http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919982/auto-finance-fraud-identity-theft Mon, 11 Sep 2017 00:01:00 EST The value of auto loan originations that contain some element of fraud may be as high as $6 billion this year, double last year's level. A special section explores how lenders and dealers can guard against identity theft and finance fraud. Dealers urged to keep eyes open for fraud http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919989/dealers-urged-to-keep-eyes-open-for-fraud Mon, 11 Sep 2017 00:01:00 EST Auto finance fraud schemes can trick even the savviest dealerships, so it's imperative to dig deeper into deals, experts say. Curbing data breaches http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919987/curbing-data-breaches Mon, 11 Sep 2017 00:01:00 EST To thwart data breaches and identify theft, Mark Pribish, ID theft practice leader at Merchants Information Solutions, has these tips. Big Brother is watching, but should he? http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919985/big-brother-is-watching-but-should-he Mon, 11 Sep 2017 00:01:00 EST As awareness of fraud and identity theft intensfies, will dealerships latch on to video recording as a way to deter misbehavior in the FandI office? Transaction videos have a downside, experts say. A con artist on your store's staff? It happens http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919986/a-con-artist-on-your-stores-staff-it-happens Mon, 11 Sep 2017 00:01:00 EST Unsavory practices in dealership FandI departments still happen. But training, check-and-balance systems, better pay plans and just being more vigilant can discourage rogue behavior, industry insiders say. Fast gains for dealership's slower process http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919992/fast-gains-for-dealerships-slower-process Mon, 11 Sep 2017 00:01:00 EST Porsche of Ann Arbor is switching up its FandI process to make it easier on customers and the finance team. The results are higher per-vehicle profits, happier customers and more time to ensure paperwork is legally compliant. Trying to win 'a game of cat and mouse' http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919993/trying-to-win-a-game-of-cat-and-mouse Mon, 11 Sep 2017 00:01:00 EST Fraud and identity theft are escalating across the board, and auto lenders have become vigilant, acting to prevent crimes from affecting their business, their dealer clients and customers. Multiple lenders look into teaming up to fight fraud http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919994/multiple-lenders-look-into-teaming-up-to-fight-fraud Mon, 11 Sep 2017 00:01:00 EST Although auto lenders are sharing fraud experiences more often, a full-fledged anti-fraud consortium has yet to take shape. Skipping background checks could be costly http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919995/skipping-background-checks-could-be-costly Mon, 11 Sep 2017 00:01:00 EST Conducting criminal background checks on potential hires is a best practice, experts say. Yet many dealers skip them. Why? Think floorplan fraud is gone? Think again http://www.autonews.com/article/20170911/FINANCE_AND_INSURANCE/170919999/think-floorplan-fraud-is-gone-think-again Mon, 11 Sep 2017 00:01:00 EST Floorplan fraud, while becoming less common, according to experts, will probably never fully disappear. Growing threat to lenders: Synthetic identities http://www.autonews.com/article/20170909/FINANCE_AND_INSURANCE/170919996/growing-threat-to-lenders-synthetic-identities Sat, 9 Sep 2017 00:01:00 EST The fastest growing type of identity theft, synthetic identity fraud, is largely unknown to the public and a mounting threat for auto lenders, experts say. Florida car dealers say insurers halt policies ahead of Irma http://www.autonews.com/article/20170907/FINANCE_AND_INSURANCE/170909838/florida-car-dealers-say-insurers-halt-policies-ahead-of-irma Thu, 7 Sep 2017 07:27:00 EST Insurers including Progressive and Allstate have stopped issuing policies on new cars in certain Florida counties, hindering vehicle sales days before Hurricane Irma is forecast to hit the state. Outstanding auto loans hit record $1.1 trillion http://www.autonews.com/article/20170907/FINANCE_AND_INSURANCE/170909823/outstanding-auto-loans-hit-record-1-1-trillion Thu, 7 Sep 2017 14:52:50 EST Outstanding U.S. auto-loan balances reached a record-high $1.1 trillion in the second quarter, a 7.1 percent rise paced by prime loans, an Experian report said. AutoFi, Tricor partner in Canada http://www.autonews.com/article/20170906/FINANCE_AND_INSURANCE/170909870/autofi-tricor-auto-financing-online-canada Wed, 6 Sep 2017 09:24:32 EST AutoFi, a company that automates online vehicle sales and financing, will enter Canada in 2018, partnering first with FandI company Tricor Automotive Group. Fewer 0% deals as vehicles languish on dealership lots http://www.autonews.com/article/20170906/FINANCE_AND_INSURANCE/170909869/fewer-0-deals-as-vehicles-languish-on-dealership-lots Wed, 6 Sep 2017 11:00:00 EST Vehicles sat on dealership lots longer in August than at any point since mid-2009. Even so, the 0 percent financing deals that can spur sales ebbed, Edmunds said. FandI providers unfazed by GM's new disclosure form http://www.autonews.com/article/20170906/BLOG06/170909868/fi-providers-unfazed-by-gms-new-disclosure-form Wed, 6 Sep 2017 11:00:00 EST While some expressed concern about GM's new disclosure form for non-GM service contracts, FandI providers were unfazed by the requirement and even applauded the automaker. Efficient paperwork, timeliness key to customer satisfaction http://www.autonews.com/article/20170906/FINANCE_AND_INSURANCE/170909867/efficient-paperwork-timeliness-key-to-customer-satisfaction Wed, 6 Sep 2017 11:00:00 EST Today's consumers demand a speedy FandI process. To satisfy them, it's important to develop and maintain a smooth system. New GM disclosure form riles dealers http://www.autonews.com/article/20170904/RETAIL07/170909922/new-gm-disclosure-form-riles-dealers Mon, 4 Sep 2017 00:01:00 EST GM dealers could face major penalties, even termination, if they fail to use a new disclosure form for customers who buy non-GM service contracts. Darwin parent hits Reynolds with suit http://www.autonews.com/article/20170904/LEGALFILE/170909994/darwin-parent-hits-reynolds-with-suit Mon, 4 Sep 2017 00:01:00 EST Superior Integrated Solutions, owner of Darwin Automotive, filed an antitrust suit against Reynolds for indirectly blocking Superior's access to dealership systems. Lexus of Bellevue, Wash., cultivates nontraditional workforce http://www.autonews.com/article/20170904/RETAIL07/170909997/dealership-cultivates-nontraditional-workforce Mon, 4 Sep 2017 00:01:00 EST When Lexus of Bellevue went all-in on a one-price model, it also modernized its hiring model for a sales experience worthy of the Internet age. Lenders offer assistance after Harvey http://www.autonews.com/article/20170830/FINANCE_AND_INSURANCE/170839986/lenders-offer-assistance-after-harvey Wed, 30 Aug 2017 11:00:00 EST Auto lenders are stepping up to help Gulf Coast customers affected by Hurricane Harvey by offering payment extensions and to redirect billing statements, among other things. Nontraditional no more http://www.autonews.com/article/20170830/BLOG13/170839981/nontraditional-no-more Wed, 30 Aug 2017 12:25:41 EST Ford Credit's decision to use nontraditional approaches in assessing consumers means the industry needs to reconsider what it now considers traditional. Millennials are more bullish on auto loans than Gen Xers were http://www.autonews.com/article/20170830/FINANCE_AND_INSURANCE/170839984/millennials-are-more-bullish-on-auto-loans-than-gen-xers-were Wed, 30 Aug 2017 11:40:30 EST Millennials are opening auto loans at a 21 percent higher rate than Gen X consumers did at the same age. But millennials are finding alternatives to other types of finance products, such as credit cards, according to a study by TransUnion. GM warns dealers over service contract disclosure http://www.autonews.com/article/20170830/FINANCE_AND_INSURANCE/170839985/gm-warns-dealers-over-service-contract-disclosure Wed, 30 Aug 2017 11:40:22 EST General Motors dealerships that sell non-GM-branded service contracts without following the company's new disclosure process could be in hot water with the automaker, according to a letter sent to dealers. Ford Credit will revamp credit-risk model http://www.autonews.com/article/20170825/FINANCE_AND_INSURANCE/170829825/ford-credit-will-revamp-credit-risk-model Fri, 25 Aug 2017 13:31:16 EST Ford Credit's consumer credit-risk model will include nontraditional data and machine learning to give the lender a better view of a car buyer's likelihood to make payments. Wells Fargo cedes U.S. auto-lending crown to Ally amid car glut http://www.autonews.com/article/20170824/FINANCE_AND_INSURANCE/170829860/wells-fargo-cedes-u-s-auto-lending-crown-to-ally-amid-car-glut Thu, 24 Aug 2017 12:31:44 EST Wells Fargo's decision months ago to pull back from making new auto loans cleared the way for Ally Financial to become the auto industry's biggest source of funding. Car supermarkets are a step backward http://www.autonews.com/article/20170823/BLOG13/170829886/car-supermarkets-are-a-step-backward Wed, 23 Aug 2017 10:56:05 EST The future of vehicle retail and FandI could take a variety of forms, but another type of brick-and-mortar store would be an unexpected route. Advancements toward an online transaction would serve the industry better. FICO arms lenders with assorted deal offers in seconds http://www.autonews.com/article/20170823/FINANCE_AND_INSURANCE/170829888/fico-arms-lenders-with-assorted-deal-offers-in-seconds Wed, 23 Aug 2017 10:54:29 EST Lenders on FICO's new platform provide dealers with multiple offers from the get-go, potentially eliminating the back and forth with dealers to achieve a customer's perfect deal structure, the company says. Canada's loan debt per borrower and delinquency rates rise http://www.autonews.com/article/20170823/FINANCE_AND_INSURANCE/170829887/canadas-loan-debt-per-borrower-and-delinquency-rates-rise Wed, 23 Aug 2017 10:55:16 EST Average auto loan debt per borrower and delinquency rates rose in Canada in the second quarter as vehicle prices increased, customers rolled in additional debt and various regions continue to recover from the economic crisis, according to TransUnion. Asbury CEO Monaghan will retire; COO Hult moves up http://www.autonews.com/article/20170822/RETAIL07/170829901/asbury-ceo-monaghan-will-retire-coo-hult-moves-up Tue, 22 Aug 2017 17:38:24 EST Asbury Automotive CEO Craig Monaghan will step down Jan. 1 after nine years leading the public dealership group. COO David Hult will replace him. Embracing the committed online shopper http://www.autonews.com/article/20170821/RETAIL07/170829976/embracing-committed-online-shopper Mon, 21 Aug 2017 00:01:00 EST Raymond Auto Group in northern Illinois has embraced the "shop, click and buy" approach. It took some work. Roadster lands Longo Toyota as client for online storefront http://www.autonews.com/article/20170821/RETAIL07/170829958/roadster-longo-toyota Mon, 21 Aug 2017 00:01:00 EST Longo Toyota has signed on to use Roadster's digital storefront. Consumers can complete transactions online and have vehicles delivered to them. BMW and Daimler may consider merging car-sharing units http://www.autonews.com/article/20170817/MOBILITY/170819817/bmw-and-daimler-may-consider-merging-car-sharing-units Thu, 17 Aug 2017 16:03:02 EST German carmakers Daimler and BMW may be in talks to combine their car-sharing services Car2Go and DriveNow, the CEO of car rental company and DriveNow partner Sixt hinted. N.Y. Nissan dealership to pay $298,000 for consumer deception http://www.autonews.com/article/20170816/FINANCE_AND_INSURANCE/170819853/n-y-nissan-dealership-to-pay-298000-for-consumer-deception Wed, 16 Aug 2017 11:22:34 EST New York dealership Nissan of New Rochelle has agreed to pay more than $298,000 in restitution and penalties for deceptively charging hundreds of customers for a phony anti-theft product.