Why Banks Want Dealers to Use Digital F&I

As dealerships look to adjust to the new sales processes that social distancing requires, it is important to see the benefits it brings.

Here are some basic data points from a dealer group and one of their banking partners regarding online customers and financing.

  • Less than 2% of applications were below the bank’s preset filters, thus eliminating wasted time and effort by both the bank and dealer’s F&I team.
  • Online applications were auto-approved almost 7% more than traditional applications, saving the bank and F&I team time and providing faster approval to a majority of customers.
  • The average online FICO was in the upper 700’s per the bank’s preset filters, assuring the ability to fund sales to highly qualified online shoppers.
  • The overall approval rate jumped 14% for digital applications vs. traditional in-store applications, showing the increased efficiency of digital applications with set filters to help streamline the process for both the bank and dealership.
  • Dealers set their rates and finance reserve for each lender to maintain their current F&I profit goals while making the process faster and customer-focused.

A “Touchless Retailing” experience lets customers enjoy a stress-free way to build out their personalized penny-perfect deal. Plus, it adds efficiency to the system that banks and dealerships can see with increased fundings as well as getting cost savings through the digital process.

If you are interested in learning more about how our platform can help your business help dealers provide a more touchless online sales and credit process, reach out to us at – sales@creditiq.com

Bill Liatsis
Author: Bill Liatsis

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