Need for More Sub-Prime and Buy-Here Pay-Here Auto Financing Now

Situation: There are at least 44 M Americans living below the official poverty level and all of them need to get to work and to the store. There is another 50 M or who more than $22K for a family of four and who may be credit challenged or have lost their job, or experienced a temporary setback

Auto Funding & Services Needed: This suggests an even more sustained if not an urgent need and an opportunity for subprime lenders, auto finance companies, credit unions and Buy-Here-Pay Here dealers to seize the day and provide the very best, most competitive financing rates and services possible in this time of economic downturn.

Support & Programs for Dealers: Many of the independent dealers at the NIADA convention last week were presented with new products and services from a growing number of industry providers including innovative companies DealerRater, AutoRaptor, ShipCarsNow, Ameritag, PassTime, and larger established service providers like, and Black Book.

Need More Banks & Underwriters: While there were no major banks, credit unions, or large finance companies on the exhibit floor, there were several automotive financial services companies such as DealerTrack, Finance Express, Leedom Group, Car Financial, Route One and Westlake were among the exhibitors, offering financing programs & services that independents could take home and use to sell cars and trucks.

Source of Profitability for Dealers: A recent article in the June 25th issue of the Economist stated that there is a “fortune at the bottom of the pyramid”—in this case the bottom of the automotive financial services market where people are in real need of transportation and the opportunity to regain their place in the economic ladder.  As the article relates.” The bottom of the pyramid is wider than most people realize. Firms that offer ultra pricing and services will find themselves as much in demand in Detroit as in Delhi.”

To see and ingest this article, please go to the Economist site,


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