Automotive News Finance and Insurance Feed News, blogs and commentary from the leader in North American automotive news en-us Sat, 28 May 2016 06:00:00 EST Autonomous vehicles, ride-sharing could push insurance premiums down 30%, study finds Thu, 26 May 2016 12:18:09 EST Auto insurance premiums could decline by as much as 30 percent over the next 25 years as autonomous vehicles and sharing services become more prevalent, a study found. 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 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 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 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. Soften the question Wed, 25 May 2016 09:45:25 EST Most of the time, there's no indication of the real reason a customer is resisting an FandI product, says Steve Klees of EFG Cos. Ask about the objection, he suggests, but do it courteously. VW's financing arm targets growth in used-car market Tue, 24 May 2016 08:56:10 EST Volkswagen's financing arm is targeting growth in the used-car market as the unit believes development opportunities in the new-car market are slowing and now plans to offer the same mix of financing products for used cars as it does for new cars. Penske rolls out online shopping across U.S. Mon, 23 May 2016 00:01:00 EST Penske Automotive Group's Preferred Purchase online shopping tool will be available on all 115 of its U.S. dealerships' websites by month end. NADA seeks allies to oppose FTC survey Mon, 23 May 2016 00:01:00 EST The National Automobile Dealers Association is lining up allies for a fight with the Federal Trade Commission over a proposed survey of consumers regarding their experiences trading in, buying and financing vehicles at dealerships. UK plans new insurance laws to help driverless cars Wed, 18 May 2016 10:12:45 EST The UK announced plans for new motor insurance laws designed to encourage investment in driverless cars, as the government looks to capture a leading role in the developing technology. Tech-only service contracts emerge as one option for naysayers Wed, 18 May 2016 11:15:00 EST When customers decline a standard service contract, Tim Dulaney, the finance chief at a Chevy store in Indiana, offers them another option: a tech-only service contract. In CFPB talks, Nissan's captive 'dedicated to protecting' consumers' right to negotiate rate Wed, 18 May 2016 11:30:00 EST It's been more than three months since the CFPB settled with Toyota Motor Credit for potentially discriminatory auto lending. The bureau settled with America Honda Finance in July. But the CFPB isn't going anywhere. RouteOne CEO departs for FordDirect Wed, 18 May 2016 11:30:00 EST Mike Jurecki, after 14 years as CEO of RouteOne, will leave the company to take the same title at FordDirect, effective June 6. FordDirect is a joint venture between Ford Motor and its Ford and Lincoln retailers. NADA Used Car Guide: Rethink new-vehicle value math Wed, 18 May 2016 11:30:00 EST Auto lenders have long relied on the manufacturers' suggested retail price, along with finance amount and consumers' credit profiles, to make a new-vehicle financing decision. Charging for prepaid maintenance trumps giving it away Mon, 16 May 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. Targeting credit cards, loans can help capture work Mon, 16 May 2016 00:01:00 EST By offering financing for service work, dealerships can capture work that otherwise might go elsewhere. But it's not always easy to get service departments to offer financing or to get customers to accept it, dealers and others agreed. Subprime lender GO Financial pulls out of auto loan market Thu, 12 May 2016 05:00:00 EST Subprime lender GO Financial, which began originating auto loans in December 2011, has pulled out of the origination market as part of a shift in strategy. AutoAssure faces Minnesota probe over sales practices Wed, 11 May 2016 11:00:00 EST Minnesota's attorney general filed a motion seeking transaction, customer lists, service contracts and other sales information from AutoAssure after 28 consumers in the state claimed they were deceived by the vehicle service contract provider. College grads are looking to buy cars, study shows Wed, 11 May 2016 11:00:00 EST Graduating college students are ready to wade into the car market and most plan to pay for the entire purchase without help from their parents. Delinquency rate tops 1% in Q1 on oil slump, riskier lending, TransUnion says Wed, 11 May 2016 11:00:00 EST The number of auto loans delinquent 60 or more days reached 1.12 percent of all loans in the first quarter, the highest rate since the first quarter of 2011, TransUnion said. Invest in tech today, reap profits tomorrow Wed, 11 May 2016 11:00:00 EST Dealers who see the value of technology will likely become the most profitable in the long run. Results from FandI technology providers show that the investment has long-term benefits. Federal judge backs jury to clear Missouri Ford store in truth in lending suit Wed, 11 May 2016 11:00:00 EST A federal magistrate judge has let stand a jury verdict in favor of a Kansas City, Mo., Ford store in a Truth in Lending Act suit. Certified leasing helps dealer ease glut of returning vehicles Mon, 9 May 2016 00:01:00 EST In anticipation of a glut of returning vehicles, Steve Zion began revving certified used-vehicle leasing a year and a half ago. Now he leases about 20 certified used vehicles a month. Is the FandI manager an endangered species? Mon, 9 May 2016 00:01:00 EST While experts are mixed on whether the FandI manager position will be around much longer, they agree that the FandI role is evolving. Subprime auto lender Credit Acceptance subpoenaed by Maryland Wed, 4 May 2016 09:30:00 EST Credit Acceptance Corp. received a subpoena from the Maryland attorney general regarding the subprime auto lender's repossession and sales policies. For lease buyers, especially millennials, use the payment pitch Wed, 4 May 2016 11:30:00 EST How FandI managers can overcome the challenge of selling FandI products to buyers who lease. CU Direct's credit union network reaps biggest gain in auto originations Wed, 4 May 2016 11:45:00 EST Credit unions on CU Direct's lending network as a group reaped more growth in originations during the first quarter than any individual bank or captive among the top 10 auto lenders. Gauging lease customers' intent when the phone's left to ring Wed, 4 May 2016 12:15:00 EST As lease returns rise, lenders and dealers are turning to a web tool to get an inkling of customers' intent to re-lease, purchase or return. A quarter of one Michigan dealer's lease customers have provided leads via the tool created by ChannelNet. Experian exec on leasing, monthly payments and conquesting customers Wed, 4 May 2016 10:58:36 EST Melinda Zabritski, senior director of automotive finance at Experian Automotive, weighed in on the benefits of leasing, which levers keep monthly payments low and how dealers and manufacturers can capture lease customers from rivals in a... Ally makes a turn toward used market Mon, 2 May 2016 00:01:00 EST Ally Financial, the No. 2 U.S. auto lender in the first quarter, is shifting more of its business toward the used-vehicle market with changes in its portfolio and its used-vehicle leasing program. Public retailers post FandI 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 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 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 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 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 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 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 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 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 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 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 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 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 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 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 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 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 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 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 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.