BLOG FOR SPECIAL FINANCE CAR DEALERS
Subprime Auto Sale on the Rise.
According to a new report from Experian Automotive, and as reported by ABC news, Subprime auto loans are one the rise. This is not news to us at Auto Credit Express; we’ve been preaching this to car dealers for a long time.
Many car dealers that cater only to the upper credit echelon of the car buying public have seen their market share decrease, especially their used car market share, whereas many car lots that have subprime auto lenders in place have seen their market share increase.
As far as I’m concerned, it’s really just a simple math equation. Car sales as a whole are down, car sales to prime buyers are down, but car sales to Subprime buyers are up. So how can a car dealership increase sales? Get more people with subprime credit financed so they can buy a car on your lot and not someone else’s!
So why is it that many car dealers still refuse to enter the subprime finance arena? If your one of these car dealers please place a comment below and let the world know why you don’t want to sell cars to people with subprime credit.
- Is it too much work for your store?
- Can’t find the right vehicle that you can purchase back of book?
- Can’t find the subprime lenders?
- Been burned by subprime in the past?
Or is it that you have a master plan to sell more cars to people with good credit, even though this segment of the car buying market is decreasing?
Or maybe your store just doesn’t know how to go about it. For stores willing to put forth the effort to enter the subprime arena, Auto Credit Express can help, in addition to our best in class special finance leads program we also help dealers with our virtual BDC call center services, and our online subprime auto sales training series.
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