Browsing articles in "Finance"
Feb 9, 2015
Jim Roberts
Comments Off on NJ & NY Lawmakers Out to Prohibit Payment Assurance Devices

NJ & NY Lawmakers Out to Prohibit Payment Assurance Devices


By Nick Zulovich – BHPH Report

New Jersey and New York legislators currently are crafting measures that would prohibit the installation of payment assurance devices, including GPS and starter-interrupt units, as a condition of securing vehicle financing. And advocates for the buy-here, pay-here industry are working not only to make sure the current legislation doesn’t become law in the Garden State or Empire State, but also so it doesn’t become the blueprints for other states to adopt.

Assemblyman Paul Moriarty, who represents New Jersey’s District 4 that includes the cities of Camden and Gloucester, is the sponsor of AB 4033, which passed unanimously out of the chamber’s consumer affairs committee last month. Industry sources told BHPH Report that a floor vote on this bill hasn’t been scheduled yet as amendments are being crafted possibly to modify the strict prohibition of the devices so commonly used by BHPH dealers and finance companies that cater to deep subprime consumers.

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Nov 5, 2013

The Champion Sales manager of 2014 – New Years Resolution

Be a Better manager

Just get ’em in!!

The Champion focuses on the ability to manage the high-performing salespeople —who have strong personalities and are now socially aggressive, including the ability to coach and mentor them into higher success.

There is mentality that still exists in Sales Mangers that is hurting dealership sales, and it is Industry wide.  There is a sea of sales managers who can pencil deals and remember rates/terms for the average consumer applying to buy a car, but are missing key traits that would take them from average to champion.

The Champion is the one who embraces the high performing sales people or  even the  average sales person with good sales skills, he is the sales manager with the most gross and with the most car deals at the end of the month. Continue reading »

Jan 27, 2012
Comments Off on Up Hill Trend on U.S. Construction Jobs, Related to increase search for Pick Up Trucks

Up Hill Trend on U.S. Construction Jobs, Related to increase search for Pick Up Trucks


Workload is Rising! As noted by the Data Point Reports, from for the Month of January 2012, full Size Truck Searches has significantly grown since December.  The fact that consumers are searching more full size trucks than compact cars shows an economic trend upswing of construction like workload vehicles needed in the market. Most searched is the Ford F150, then the Chevy Silverado 1500 and last the Dodge Ram 1500.

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Jan 25, 2012

Eradicating Finance and Insurance Offenses at Your Dealership

Deceptive Offers

Deceptive Offers

Sure, you can cut down on the misconduct by training employees in compliance rules, setting high standards and prosecuting offenders who think cheating customers is one way to earn a bonus.

The industry has come a long way cleaning up its act. But you’re not going to completely wipe out the bad behavior, Robertson says. Not as long as human beings staff F&I offices.

There always will be some dealers and dealership personnel who consider it OK to charge customers for unordered items or to knowingly send false credit information to lenders.

“There are dealers who will never get it,” says Robertson, a former F&I manager and current executive director of the Assn. of Finance & Insurance Professionals.

“There is a certain percentage that, no matter what the consequences, are not going to do it right,” he says. “It’s like drug addicts comprising a certain percentage of the population.”

Alas, it is “a quirk of human nature we must recognize,” Robertson says at the 2007 F&I Management and Technology Conference in Las Vegas.

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Jan 25, 2012

SubPrime? Economy has Sucker Punched Many Good Buyers

Subprime Lending

Subprime Lending

After all, it is hard work. All of the stipulations, less per-car gross, longer time to fund a contract. There is a long list of reasons not to do it. I have been managing a subprime department for more than a year, and the frustrations are never-ending.

That said, there is a large boat docked outside your dealership and if you don’t jump on it now, you are going to miss it.

Subprime is not what it used to be. It is not buy-here, pay-here. It is not marketing to jobless deadbeats, milking the system. Subprime is marketing to a different customer, one this industry has not seen in such numbers in a long time.

Subprime is marketing to the should-be 700 Club. A credit score at that level typically, but not always, gets a consumer out of the subprime caste. But it is no secret that over the past three years, the economy sucker-punched a lot of people, knocking down their credit scores.

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Jan 25, 2012

SubPrime Lending Is getting Softer-2012

Auto-loansChris Cochran had credit issues as a young man. So he’s sensitive when dealing with car shoppers lugging around subprime baggage.

“Having come up through college with credit problems myself, I can relate to others in that situation,” says Cochran, the finance director of the Haddad Motor Group in Massachusetts.
He spearheaded the establishment of a Haddad subsidiary, Captain Credit, a car store catering to the subprime set. In October, the operation relocated to a bigger facility, a former GMC dealership in Pittsfield, MA.

“We decided to move there when Captain Credit did so well,” Cochran says. “It has created a new area for us.”
Special auto financing is different. In regular car deals, the customer typically picks out a vehicle, then gets the financing.

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Dec 21, 2011

Subprime Is On The Rise: Which Creates New Profit Avenues For Smart Car Dealers

According to Experian: car loan delinquencies fell in the first quarter of 2011, for the first time in three years.  Default rates have dropped by 28% from the previous year; meaning that banks are feeling more confident in lending to more sub-prime customers.  The banks also have more money to lend so they are more willing to take risks and lend to people with less than perfect credit.

This is good news for Independent Dealers because they have been working with people that have bad credit and sub-prime car loans for many years.  Since the credit crisis millions of people who used to have good credit now fall under the sub-prime category.  Even though this is a discouraging look at the current economic situation, it is encouraging for the sub-prime market.

Reasons that your car dealership may not be getting more sub-prime car loans:
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