Your primary goal as a car dealer is to sell quality vehicles and generate revenue for your business. However, not offering subprime financing through your car dealership could potentially hinder you from meeting your sales goals.
If you’re an independent car dealer, you may not have all the resources and funding necessary to purchase quality inventory for your dealership. If you’re a buy here pay here car dealer, scrambling to collect monthly car payments from your customers may be distracting you from generating more cash flow for your business. If you’re a franchise car dealer, you may be unable to provide approval on newer, lower-mileage vehicles to car buyers with bad credit or no credit through traditional lenders and finance companies. Offering subprime financing through your dealership can help.
Benefits of Offering Subprime Financing
Working with a subprime finance company like Credit Acceptance gives your dealership the ability to approve credit-challenged customers, allowing you to sell more cars and make more money for your business.
The Credit Acceptance Portfolio Program is our most popular auto finance program designed to help enrolled dealers increase credit approvals, cash flow and profits through competitive financing for non-prime and subprime customers.
Some advantages of offering subprime financing through our Portfolio Program include:
- Multiple ways to get paid: Enrolled dealers can get paid competitive advances and receive up to 80% of net collections.
- The ability to say ‘YES’ to every customer: Dealers enrolled in our program can approve every customer regardless of their credit history.
- The ability to sell nearly any vehicle: Credit Acceptance’s auto finance programs work well with both new and used vehicles.
- Same-day funding with eContracting: With Credit Acceptance’s eContracting, enrolled car dealers can receive same-day funding. Processing begins as soon as the contract package and funding proofs are electronically submitted and approved by Credit Acceptance.
- Collections: Credit Acceptance has a team of trained professionals that focus solely on collections, freeing up your time to buy and sell more cars.
Last year, enrolled dealers were paid nearly $4 billion in total funding and more than $180 million in Portfolio Profit.
If your car dealership wants to increase its sales and cash flow by offering non-prime and subprime car financing for buyers with bad credit or no credit, simply fill out the form on our website to learn the benefits of becoming an enrolled dealer!
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