Automotive Lenders

Record breaking SAAR was a boon for auto lenders; however, lenders are now facing increased risks from variables like defaults, interest rates, and residual values. Timing and predicting changes in the market is a priority for every stakeholder in auto finance.

Auto finance companies and lenders require guidance to assist them with the challenges and opportunities on the road ahead. Here are some ways that we’ve helped our clients.

Example engagements

  • Evaluated an indirect automotive lender’s strategy to increase its volume of franchise dealership originations.
  • Designed mobile contracting point of sale solution for direct lender.
  • Created static pool analysis of consumer finance receivables.
  • Completed operational review and assessment of direct lending originations operation.
  • Developed strategic plan and three year operating plan for direct lending unit within larger indirect-focused auto lender that would lead to effective spin-off and value creation.
  • Evaluated technology solutions and vendors to facilitate both originations and loan servicing operations and enhance management/oversight capabilities for both core functions.
  • Prepared presentations on new and used vehicle sales trends and future valuation commentary for a regional bank lender with significant exposure in automotive finance.
  • Identified deficiencies in an auto finance company’s remarketing process.
  • Assisted an auto finance company with obtaining a warehouse line of credit.
  • Guided a private equity fund to determine the optimal exit strategy for its investment in a national special situation automotive indirect lender.

 

Related white paper
How can credit unions bring more value to indirect dealers and increase competitiveness? In our white paper, we provide seven opportunities for credit unions to both enhance exiting value and create new value for indirect dealer partners. We base these opportunities on our understanding of the current auto retail market, predictions for the near-term future, and collaborative research efforts with CU Direct.

To read our white paper, please visit the following link:
https://maryannkeller.com/the-dealer-value-proposition/