Automotive News Finance and Insurance Feed http://www.autonews.com News, blogs and commentary from the leader in North American automotive news en-us Sat, 25 Feb 2017 06:00:00 EST Auto finance OK overall, but subprime shows blemishes, N.Y. Fed says http://www.autonews.com/article/20170222/FINANCE_AND_INSURANCE/302229997/auto-finance-ok-overall-but-subprime-shows-blemishes-n-y-fed-says Wed, 22 Feb 2017 11:30:00 EST Credit quality looks OK for auto finance overall, and outstanding auto loans and leases combined hit a record $1. EFG launching compliance tutorials http://www.autonews.com/article/20170222/FINANCE_AND_INSURANCE/170229963/efg-launching-compliance-tutorials Wed, 22 Feb 2017 11:30:00 EST EFG aims to simplify FandI compliance for industry newcomers and veterans through a series of free podcasts and YouTube videos. Q4 F&I results improve at 5 of 6 publics http://www.autonews.com/article/20170222/FINANCE_AND_INSURANCE/302229996/q4-fi-results-improve-at-5-of-6-publics Wed, 22 Feb 2017 11:45:00 EST Group 1, AutoNation, Asbury, Sonic and Lithia posted improved FandI results in the fourth quarter, although the retailers gave mixed views this month on whether growth will continue. Keep the buying process flexible http://www.autonews.com/article/20170222/BLOG13/302229995/keep-the-buying-process-flexible Wed, 22 Feb 2017 11:45:00 EST In the evolution to the online car-buying process, it's important to remember there is no one-size-fits-all solution. Auto lenders' kill switches being probed by U.S. regulator http://www.autonews.com/article/20170217/FINANCE_AND_INSURANCE/170219847/auto-lenders-kill-switches-being-probed-by-u-s-regulator Fri, 17 Feb 2017 10:18:15 EST A U.S. regulator is looking at whether auto finance companies that use sophisticated technology like ignition kill switches are illegally harassing subprime borrowers that have fallen behind on their payments. eBay survey: 63% of car shoppers likely to buy online http://www.autonews.com/article/20170216/RETAIL/170219866/ebay-survey-63-of-car-shoppers-likely-to-buy-online Thu, 16 Feb 2017 14:26:52 EST A new eBay Advertising survey found that 63 percent of respondents are either 'extremely likely' or 'likely' to purchase a vehicle online in the future. Hyundai, Kia launch captive finance arm in Germany http://europe.autonews.com/article/20170216/ANE/170219936/hyundai-kia-launch-captive-finance-arm-in-germany Thu, 16 Feb 2017 00:01:00 EST Hyundai and Kia plan to support their new-car sales in Europe by launching a captive financial services business, breaking away from partner Santander and starting with the foundation of a bank in Germany. Lenders, help borrowers break the subprime cycle http://www.autonews.com/article/20170215/BLOG06/170219901/lenders-help-borrowers-break-the-subprime-cycle Wed, 15 Feb 2017 11:00:00 EST Americans have mostly recovered from the 2008-09 recession, but it can still be difficult for many subprime consumers to bounce back, especially when interest rates are high and auto insurance costs are almost as much as the loan itself. Finance portal offers 'one-stop shop' for dealership staffs http://www.autonews.com/article/20170215/FINANCE_AND_INSURANCE/170219919/finance-portal-offers-one-stop-shop-for-dealership-staffs Wed, 15 Feb 2017 11:00:00 EST To help dealership employees access data needed to close deals faster, ChannelNet, with Hyundai Capital America, has upgraded its dealer portal, adding mobile use and customizing it to fit the duties of multiple staffers. Ford store&'s backdated contracts weren&'t improper, court rules http://www.autonews.com/article/20170215/LEGALFILE/170219920/ford-store-s-backdated-contracts-weren-8217-t-improper-court-rules Wed, 15 Feb 2017 11:00:00 EST A Ford store in Riverside, Calif., didn't violate the state's Automobile Sales Finance Act when it backdated replacement contracts for finance deals rejected by lenders, the state Supreme Court unanimously ruled. Daimler invests in U.S. vehicle finance app http://europe.autonews.com/article/20170214/ANE/170219941/daimler-invests-in-u-s-vehicle-finance-app Tue, 14 Feb 2017 05:42:57 EST Daimler is investing a double-digit million-euro amount into AutoGravity, a smartphone-based U.S. vehicle leasing and financing app as part of a broader push by the carmaker to build a digital platform for financial services. Dealership follows steakhouse recipe http://www.autonews.com/article/20170213/RETAIL07/302139974/dealership-follows-steakhouse-recipe Mon, 13 Feb 2017 00:01:00 EST Dealership general manager Rich Mahon turned his hiring and retention rates around by adopting some restaurant practices. GM Financial eyes more growth http://www.autonews.com/article/20170213/OEM02/302139981/gm-financial-eyes-more-growth Mon, 13 Feb 2017 00:01:00 EST After gaining subvented loan and lease exclusivity over the past two years, General Motors' captive finance arm, GM Financial, is eyeing floorplanning and nonsubvented loan share, top executives say. How Enterprise recruits future leaders http://www.autonews.com/article/20170213/RETAIL/302139976/how-enterprise-recruits-future-leaders Mon, 13 Feb 2017 00:01:00 EST A training system aimed at career growth helps Enterprise Rent-A-Car keep a steady flow of recent college grads coming in as new hires. Used-car leasing fails to meet expectations http://www.autonews.com/article/20170213/FINANCE_AND_INSURANCE/302139980/used-car-leasing-fails-to-meet-expectations Mon, 13 Feb 2017 00:01:00 EST In spring 2016, the idea of used leasing buzzed around the National Automobile Dealers Association convention and the American Financial Services Association Vehicle Finance Conference in Las Vegas. To keep millennials, keep them engaged http://www.autonews.com/article/20170213/RETAIL07/302139975/to-keep-millennials-keep-them-engaged Mon, 13 Feb 2017 00:01:00 EST Dealers are hiring more millennials, but struggling with how to retain them. Experts say it can be done, and here's how. Strategies for reducing employee turnover http://www.autonews.com/article/20170213/RETAIL07/302139956/strategies-for-reducing-employee-turnover Mon, 13 Feb 2017 00:01:00 EST LAST IN A FOUR-PART SERIES: Car dealers struggle to recruit employees with the best talent and keep them for years. Here are some ways to fix that. VIDEO: Overcoming compliance fears http://www.autonews.com/article/20170208/FINANCE_AND_INSURANCE/170209839/video-overcoming-compliance-fears Wed, 8 Feb 2017 11:00:00 EST Many dealers are afraid of making compliance a priority, and that fear could be getting in the way of better performing FandI managers, according to Greg Kostern, business operations director at Johnson Automotive. Thoughts on leasing from dealer council chairs http://www.autonews.com/article/20170208/FINANCE_AND_INSURANCE/170209842/thoughts-on-leasing-from-dealer-council-chairs Wed, 8 Feb 2017 11:00:00 EST Ahead of January's National Automobile Dealers Association convention in New Orleans, Automotive News interviewed 25 dealer council chairs, or dealers holding the equivalent position, representing 31 brands. Group 1's PVR bar will be tough to beat http://www.autonews.com/article/20170208/BLOG13/170209823/group-1s-pvr-bar-will-be-tough-to-beat Wed, 8 Feb 2017 11:15:39 EST Group 1 Automotive hit a record $1,636 in FandI gross profit per unit in the fourth quarter, likely becoming the new leader in the FandI race among the six largest publicly traded new-vehicle retail groups. Big or small, size can be a hiring advantage http://www.autonews.com/article/20170206/RETAIL07/302069960/big-or-small-size-can-be-a-hiring-advantage Mon, 6 Feb 2017 00:01:00 EST THIRD IN A FOUR-PART SERIES: When it comes to hiring and retaining talent, who has the advantage -- a large dealership group or a small group? The answer is both. Building a diverse staff requires a dealer push http://www.autonews.com/article/20170206/RETAIL07/302069958/building-a-diverse-staff-requires-a-dealer-push Mon, 6 Feb 2017 00:01:00 EST Many young minorities and women aren't aware of the opportunities in auto retail and never take a serious look at the business. Having diverse staff is a business booster for one dealership group http://www.autonews.com/article/20170206/RETAIL07/302069959/having-diverse-staff-is-a-business-booster-for-one-dealership-group Mon, 6 Feb 2017 00:01:00 EST In the Dallas-Fort Worth market, a melting pot of different cultures, the Mac Churchill stores have made hires to accommodate the diverse backgrounds of its consumers. At small group, hiring is like stocking a bullpen http://www.autonews.com/article/20170206/RETAIL07/302069961/at-small-group-hiring-is-like-stocking-a-bullpen Mon, 6 Feb 2017 00:01:00 EST New York dealer Paul Passarelli struggles with a problem common to small dealership groups. He has talented employees ready for a promotion and no higher posts available for them. Online car sales could soon be on fast track http://www.autonews.com/article/20170206/RETAIL06/302069928/online-car-sales-could-soon-be-on-fast-track Mon, 6 Feb 2017 00:01:00 EST Auto industry leaders say the industry is within a year or two of being able to complete an entire vehicle transaction online. That includes pitching finance and insurance products and getting electronic signatures on key documents. Make compliance a priority, experts say http://www.autonews.com/article/20170206/RETAIL06/302069987/make-compliance-a-priority-experts-say Mon, 6 Feb 2017 00:01:00 EST The future of the Dodd-Frank Act and Consumer Financial Protection Bureau has been largely questioned since President Donald Trump took office, but no matter the status of the CFPB, dealers should prioritize compliance, experts said at the... Trump orders review of Dodd-Frank, potentially impacting CFPB, Cordray http://www.autonews.com/article/20170203/FINANCE_AND_INSURANCE/170209915/trump-orders-review-of-dodd-frank-potentially-impacting-cfpb-cordray Fri, 3 Feb 2017 10:16:28 EST President Trump ordered a sweeping review of the Dodd-Frank Act rules enacted in response to the 2008-09 financial crisis, a move that could impact the Consumer Financial Protection Bureau and auto lending. Why Audi's Keogh keeps leasing in check http://www.autonews.com/article/20170201/FINANCE_AND_INSURANCE/301189998/why-audis-keogh-keeps-leasing-in-check Wed, 1 Feb 2017 12:00:00 EST Leasing accounts for a majority of Audi's sales in the U.S., but Audi of America President Scott Keogh says he wouldn't want the brand to get to a point where captive finance leasing dominates Audi's book of business. Lenders gloat over CFPB's prospects -- then reconsider http://www.autonews.com/article/20170201/BLOG13/170209975/lenders-gloat-over-cfpbs-prospects-then-reconsider Wed, 1 Feb 2017 12:13:20 EST During the American Financial Services Association's auto finance conference, AFSA's leaders and their audience were practically gloating over the possibility that the Trump administration might gut the CFPB. Are fines lurking in your filing cabinet? http://www.autonews.com/article/20170201/BLOG13/302019986/are-fines-lurking-in-your-filing-cabinet Wed, 1 Feb 2017 12:15:00 EST Having a documented process in place can help dealers avoid expensive consequences. Showroom intros, videos plant the F&I product seed http://www.autonews.com/article/20170201/FINANCE_AND_INSURANCE/302019987/showroom-intros-videos-plant-the-fi-product-seed Wed, 1 Feb 2017 12:00:00 EST With squeezed new-vehicle margins, many dealers are relying on FandI for profit, but customers are often skeptical of FandI products. In Canada, 8-year terms 'push the ceiling' http://www.autonews.com/article/20170201/FINANCE_AND_INSURANCE/302019985/in-canada-8-year-terms-push-the-ceiling Wed, 1 Feb 2017 00:01:00 EST More than half of Canadian car buyers who opt to finance take a loan of 84 months or longer. Ally's Q4 net income falls 5.7% http://www.autonews.com/article/20170131/RETAIL/170139947/allys-q4-net-income-falls-5-7 Tue, 31 Jan 2017 14:36:02 EST Ally Financial, one of the nation's largest auto-retail lenders, reported a 5.7 percent decline in fourth-quarter net income, to $248 million, as consumer auto loan and lease originations fell. Cross-training boosts resources and teamwork http://www.autonews.com/article/20170130/RETAIL07/301309954/cross-training-boosts-resources-and-teamwork Mon, 30 Jan 2017 00:01:00 EST By cross-training the dealership staff, most experts say, dealerships have more resources and expertise in their stores. And by zeroing in on a shared goal, the staff can create a more effective transaction process. Customer experience imperative drives changes in hiring http://www.autonews.com/article/20170130/RETAIL07/301309971/customer-experience-imperative-drives-changes-in-hiring Mon, 30 Jan 2017 00:01:00 EST SECOND IN A FOUR-PART SERIES: Dealership pay plans and job descriptions are changing amid a growing realization that a positive customer experience comes from flexible employee hours and an atmosphere of teamwork. AutoNews Now: Fields confident on Trump http://www.autonews.com/article/20170128/VIDEO/301289964/autonews-now-fields-confident-on-trump Sat, 28 Jan 2017 07:30:00 EST Fields says Trump 'going to be good for our industry'; 400 more FCA dealers?; Report: GM, Honda to expand fuel-cell work; Make-meeting highlights; Keeping an eye on FandI. Quick question http://www.autonews.com/article/20170127/RETAIL06/301279975/quick-question Fri, 27 Jan 2017 00:01:00 EST If automakers raise incentives, what form of incentives would you prefer to see? Experts: Make compliance a priority http://www.autonews.com/article/20170127/RETAIL06/301289976/experts-make-compliance-a-priority Fri, 27 Jan 2017 16:22:50 EST The future of the Dodd-Frank Act and Consumer Financial Protection Bureau has been largely questioned since President Donald Trump took office, but no matter the status of the CFPB, dealers should prioritize compliance, experts said at the... BMW Group Canada, Reynolds ink DMS agreement http://www.autonews.com/article/20170126/RETAIL06/301279974/bmw-group-canada-reynolds-ink-dms-agreement Thu, 26 Jan 2017 14:52:57 EST BMW Group Canada will convert all of its franchised stores in Canada to Reynolds and Reynolds' Windows-based ERA-IGNITE dealership management system. New-, used-vehicle financing trends converge http://www.autonews.com/article/20170126/RETAIL06/301279967/new-used-vehicle-financing-trends-converge Thu, 26 Jan 2017 18:52:49 EST Finance trends in the new- and used-vehicle markets are merging, as shown by product announcements and data presented at the American Financial Services Association's vehicle finance conference this week in New Orleans. Automakers, digital deals hinge on you http://www.autonews.com/article/20170125/BLOG13/301259993/automakers-digital-deals-hinge-on-you Wed, 25 Jan 2017 11:45:00 EST The online car-buying experience has become a major industry focus as consumers expect the process to be as simple as buying a book on Amazon. AutoGravity expands financing app, websites to 46 states http://www.autonews.com/article/20170125/FINANCE_AND_INSURANCE/170129899/autogravity-expands-financing-app-websites-to-46-states Wed, 25 Jan 2017 11:45:00 EST Car buyers across the country can now select a vehicle and financing offer through AutoGravity's mobile app and web platform. Dealers see limited upside from F&I in 2017 http://www.autonews.com/article/20170125/FINANCE_AND_INSURANCE/301259994/dealers-see-limited-upside-from-fi-in-2017 Wed, 25 Jan 2017 11:45:00 EST An unscientific, online survey by Automotive News shows that dealers see a more limited upside potential in their FandI departments in 2017 compared with prior years. F&I buys drive dealer, brand loyalty, study finds http://www.autonews.com/article/20170125/FINANCE_AND_INSURANCE/170129922/fi-buys-drive-dealer-brand-loyalty-study-finds Wed, 25 Jan 2017 11:45:00 EST Car buyers who purchase FandI products are more loyal to the dealership and brand and are more satisfied than those who choose not to buy products, according to a study by The Warranty Group. Wal-Mart, CarSaver will sell cars http://www.autonews.com/article/20170123/RETAIL01/301239805/wal-mart-carsaver-will-sell-cars Mon, 23 Jan 2017 00:01:00 EST Wal-Mart Stores, the nation's largest retailer, is jumping into car sales through a partnership with CarSaver, an online automotive retail platform. CarSaver, in turn, is setting up partnerships with dealership groups, including AutoNation. 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. Turnover set off alarm bells at Toyota store http://www.autonews.com/article/20170123/RETAIL06/301239851/turnover-set-off-alarm-bells-at-toyota-store Mon, 23 Jan 2017 00:01:00 EST Bad hiring can cost a dealership plenty. Rick Evans figures his Toyota dealership lost at least $500,000 -- maybe even $1 million or more -- because of his hiring problems. Employee turnover costs dealers billions http://www.autonews.com/article/20170123/RETAIL06/301239850/employee-turnover-costs-dealers-billions Mon, 23 Jan 2017 00:01:00 EST FIRST OF A FOUR-PART SERIES: When look-alike stores sell the same vehicles at roughly the same prices, only the people distinguish one dealership from another. Yet very few dealers are good at hiring and retaining employees. 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. Penske ends no-haggle pilot http://www.autonews.com/article/20170121/RETAIL07/301239804/penske-ends-no-haggle-pilot Sat, 21 Jan 2017 00:01:00 EST Penske Automotive Group has backed off a no-haggle pricing experiment and returned to a traditional sales model and a commission-based pay plan at Toyota of Surprise (Ariz.).