Ford Motor Co. plans to follow its rivals by offering a credit card that would allow customers to more easily finance repairs and earn them money toward service or new-vehicle purchases.
The Visa card, which will be tied to the FordPass Rewards system and is expected to launch in the second quarter, would allow users to accumulate points for any purchase, automotive-related or not, that could be redeemed in Ford showrooms or service centers, according to dealers briefed on Ford's plans.
Cardholders can earn 5 percent back on certain Ford transactions, plus another 5 percent through FordPass Rewards. The card will offer 3 percent back for gasoline, auto insurance, parking and other auto-related purchases, as well as on dining, and 1 percent back on all other purchases.
Users would be eligible to get 0 percent interest for six months on purchases of $499 or more at Ford, Lincoln or Quick Lane stores and could earn credits for hitting annual purchasing thresholds, dealers were told.
There is no dealer participation fee, and Ford's retailers would earn a $65 sign-up bonus for each person enrolled and approved, people familiar with the plans told Automotive News. Dealers were told customer enrollment will be completely digital and that the card will be offered through the First National Bank of Omaha, not Ford Motor Credit Co.
A Ford spokeswoman declined to comment on any details about the credit card.