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F&I

Automotive News – Consistent F&I Pricing Key to Compliance

Jim-Henry

 

Contributing Author: Jim Henry, Automotive News Special Correspondent

As regulators scrutinize auto lending practices, companies in the F&I space have made compliance with state and federal rules a priority too.

F&I product administrator EFG Cos., of Dallas, is one such company. About a year ago, it appointed Karen Klees to fill the new role of compliance specialist. Klees recently amended her title to certified consumer credit compliance specialist after completing the Consumer Credit Compliance Certification Program from the National Automotive Finance Association.

Klees explained to Automotive News Special Correspondent Jim Henry how she would put her training to work at dealerships in 2015.

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The talk at auto finance industry conferences centers on compliance as the growing arena in the CFPB era. Is that your experience, too?

Everyone I’ve come into contact with recently has identified … stresses they are under from the Consumer Financial Protection Bureau and other regulators. It’s been a huge kind of coordinating task.

At the same time, the industry says it didn’t just discover compliance, right?

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F&I

Tips to Shorten Time in the F&I Office

Contributing Author: John Stephens

 

Contributing Author: John Stephens, Senior Vice President, Dealer Services, EFG Companies

As dealerships look into tightening operations and shortening the time it takes to buy a car, one of their biggest challenges is shortening the time spent in the F&I office. After all, there’s a lot to do there. There’s getting all the information to present to lenders, finding the right lender for the customer, working with the lender to secure the loan, discussing F&I products, signing paperwork, the list goes on. However, there are some very simple things dealerships can do to shorten this process.

First, let’s look at F&I compliance. This is probably your number 1 hurdle when it comes to shortening the F&I process. Although, it doesn’t have to be. For example, knowing that F&I managers are required to present 100% of your F&I products to 100% your customers 100% of the time, consider the number of products you have on your menu. Is it more than 6? Are you using the quantitative approach of including as many products as possible on your menu with the hope that one or two stick?

How often do you see customers watching the clock during the F&I product presentation? The best way to maximize your opportunity for profit and the customer’s time is by stepping back and analyzing your target consumer base. Then tailor your menu to achieve the best possible product penetration with a qualitative approach of outfitting it with between 4 and 6 products that match the wants and needs of your consumers. This alone makes your F&I managers’ jobs easier, faster and more pleasant for your consumers.

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EFG Companies F&I Featured

EFG Companies Selected as 2015 Nifty 50 Product Award Winner

Certified Hide Pre-Owned Protection Fills Industry Void & Drives Used Unit Sales

2015 Nifty 50 Winner Logo 1EFG Companies, the innovator behind the award-winning Hyundai Assurance program, announced today that the company’s Certified Hide Pre-Owned Protection product has received a Powersports Business 2015 Nifty 50 Award.  The winning products and services of the Nifty 50 are awarded annually based on their ability to increase dealer profit potential.

The Nifty 50 award winners were chosen by the editors of Powersports Business and their sister publications in the powersports industry, including Rider and Thunder Press.

CERTIFIED_HIDE_LOGOCertified Hide Pre-Owned Protection makes a strong statement about the quality of a dealer’s inventory and the integrity of the dealer. The program drives sales, increases front-end gross, and differentiates dealers with the opportunity to provide complimentary extended coverage on all eligible used inventory in a traditionally under-served consumer market.