Glenview Finance Debuts 'Credit Builder' Deep Subprime Finance Program

CHARLOTTE, N.C. (April 7, 2023) — Glenview Finance, a capital provider for buy here-pay here (BHPH) dealers, has debuted "Credit Builder," a subprime automotive finance program designed specifically for the modern automotive retailer in a digital age.

Launched in January 2023, Glenview prudently conducted a soft rollout of the program to ensure the highest satisfaction levels for its dealer clients and their customers. With all personnel, procedural, and policy goals met, Glenview will intensify its sales and marketing efforts.

"Developed over 24 months, we painstakingly made sure dealers would embrace this new source of deep subprime funding," said John Donaldson, Glenview Finance President. "We utilize sophisticated, smart algorithms to assist our underwriters in swift decisions with maximum benefit for our dealer clients and their customers."

Glenview made every effort to ensure Credit Builder is a simple and intuitive point-of-sale program. All terms, conditions, dealer incentives, and pricing tiers, are concisely laid out in just two pages. Dealers apply using DealerTrack.

"When a deal meets our parameters with all the boxes checked, we can decide in minutes and provide funding within hours or the next day," said Kyle Heintschel, Glenview's National Sales Director.

Fast turnaround times for funding decisions have become the industry standard, and Donaldson insisted Credit Builder be a leader in the marketplace.

"Our turnaround times are the best in the business, but we're also going to adhere to our guidelines strictly," said Jeremy Wood, Underwriting Manager. "If the customer doesn't meet our parameters, we'll let you know immediately."

Donaldson quickly added that Credit Builder Program is aggressive in the marketplace, and underwriters have the authority to match or beat any direct competitor.

"Whether it's dealer net proceeds, the rate, the term, or all three, we will be assertively competitive," Donaldson said.

Credit Builder's competitive rates and flexible terms will help most car buyers get behind the wheel of the vehicle they need and can afford. For example, contract terms by vehicle age range from two years old and newer to 60 months and 8-10 years (max) to 39 months. Similarly, mileage ranges from 50,000 to 60 months and 100,000-130,000 miles (maximum) to 39 months.

Credit Builder offers financing to customers with a minimum of a 500 FICO score, six months on the job, a $1,000-$1,500 down payment, and a $25,000 maximum amount financed. The application process is fast and straightforward.

Dealers directly connect to Glenview's underwriters via phone or email, so phone messages, prompts, or web links to frequently asked questions are not time-consuming.

"When you call the underwriter, we typically answer the phone or call back within minutes," Wood said. "We know how frustrating it is when a customer anxiously awaits a decision or needs an answer to a question, and you can't get someone to respond."

Donaldson said Credit Builder is perfect for that smaller retailer but can also meet the needs of a larger dealer group.

"Dealers of all sizes see fewer deep subprime finance providers and tighter credit stips," Donaldson said. "When we did our research, we learned dealers miss and want that personalized touch. So we provide that with a program that makes good financial sense for them and their clients."

About Us

Glenview Finance has more than a decade of experience in serving automotive finance professionals by providing them with unique programs designed to assist them with growing their businesses by providing dealers capital and offering deep subprime auto financing for consumers. In addition, leadership at Glenview has nearly 100 years of experience in accounting, finance, and subprime finance. The company operates in 13 states on the Eastern Seaboard, the Midwest, and Texas. Call (877) 413-5929 and select Option #1.

Contact

Kyle Heintschel

National Sales Director, Glenview Finance

(281) 949-7712

Kyle@glenviewfinance.com

Glenview’s Program Has Tremendous Value for BHPH and Dealers Seeking Capital and New Financing

Using a capital provider like Glenview Finance has several benefits for buy here-pay here retailers and dealers looking to add another financing source for deep subprime finance they cannot get funded elsewhere. Glenview’s program also presents a great opportunity to add to your cashflow during the income tax refund season that’s occurring as you read this.

Benefits for retailers include:

• Access to financing: BHPH and retail dealers offering subprime financing serve customers with poor credit who qualify for few traditional financing options. Glenview offers financing options for these customers that help dealers generate more sales, increase cashflow, and provide often much-needed access to relatively low-cost capital. We have an extensive background in proper compliance to properly service customer accounts.

• Improved cash flow: By partnering with Glenview, BHPH dealers receive payments for their financing portfolio (and new finance contracts) more quickly and consistently. This immediate access to capital has numerous benefits for the retailer such as acquiring new inventory and infrastructure improvements.

• Improved efficiency: Glenview takes charge of the many administrative tasks associated with financing, such as underwriting, collections, and repos. Again, this frees dealers from the numerous functions and allows them to be more efficient and focus on their core enterprise.

• Proficiency: Glenview has years of experience and expertise with the auto finance marketplace, especially the deep subprime industry. This knowledge and aptitude is shared with our partners who look to grow their business and improve operations. When our clients succeed and become more profitable, so do we.

Using Glenview’s services and expertise provides retailers with excellent, relatively low-cost access to financing. Glenview’s program improves cashflow, reduces risks, improves dealership efficiencies, and provides extremely valuable expertise. Full details on Glenview’s program HERE

Glenview’s Capital Program Offers Best from Available Solutions

By Kyle Heintschel

Regional Sales Manager

Capital is the lifeblood of all buy here-pay here (BHPH) operations, and current economic conditions have made getting a cash infusion an expensive proposition. As the federal reserve has increased interest rates, the cost of borrowing money has gone up.

Given the inherent risks associated with the subprime and deep subprime automotive finance business models, capital has always been more challenging to secure and expensive than almost any other business financing.

Because the BHPH dealer has assets (vehicles) to leverage, several capital acquisition options exist. However, they are expensive, and there are numerous stipulations. Dealers selling 25 units a month will need more than $2 million for just vehicle acquisition. Cash outflow is fast, and the money returns far more slowly in weekly, bi-weekly or monthly payments.

Self-funding is an option and the most cost-effective method. Dealers will have to access capital from savings, investments or loans from family, friends, or investors. The risk is loss of investment, and if not enough capital is available through unexpected events such as weather or accident, it will immediately lead to an inability to purchase new or recondition returning inventory.

Banks can provide lines of credit and small business term loans to assist with portfolio growth and have traditionally been among the least expensive. Banks have also been known to be selective in who they provide capital. They typically have more strict underwriting standards than other BHPH capital providers, require many years in business, audited financial statements, and strong net worth owners and seasoned portfolio performance. They can quickly end the relationship, as many dealers discovered during the 2007 housing crisis and subsequent Great Recession.

Bulk sales of notes is a common practice for BHPH, especially those that would like to maintain a limited staff and prefer not to expend capital resources on collections and service operations as the portfolio grows. The key benefit is immediate access to profits and the ability to fund future deals. The biggest concern for dealers is the loss of month-over-month cash flow from existing customer payments, not to mention the loss of repeat and referral business that comes from having a long-term relationship with the client. This is less of a concern than it used to be. Most dealers have multiple “contactless” ways for their customers to make payments. If the note buyer has poor customer service, especially with collections, it can lead to brand issues for the dealership. The consumer associates poor customer service with the dealership regardless of who now owns the finance contract.

Glenview Finance provides what most in the industry refer to as a Payment Streaming program, though our program is different, and we like to refer to it as “Streaming on Steroids.”

Typically, with a streaming program, dealers sell off a portion of payments only and give up any residual monthly cash flow to those deals. The capital provider manages collections during that period, but the dealer ultimately retains the customer when the payment stream has run its course.

Our program purchases the entire retail installment contract from ALL dealers with a 50 percent upfront advance. Further, Glenview continues to share 40 percent of each payment received, maintaining month over month cash flow for our dealer partners. If a retail dealer cannot find funding for a credit-challenged consumer, we step in and fund the deal. The retail dealer sells another vehicle and gets an instant return. The same goes for BHPH dealers who need access to capital. This gives them instant access to “up-front” cash flow and back-end profit as the contract matures. We handle all the collections and, if necessary, repossessions. Dealers receive an upfront advance and get their portion of the payment from Day 1 with no pool or performance metrics that need to be obtained. Ultimately, they would receive 90 percent of the principal and 40 percent of the interest for all contracts that pay in full.

Our hybrid point-of-sale program offers the best of all the models. We’re a partner with a vested interest in the success of the contract. We understand the challenges and opportunities of the retail marketplace, but we also have unrivaled automotive finance expertise. We have a shared interest in having satisfied customers who pay on time for the life of the loan.

If you want to learn more, call 877-288-0307 or email us at sales@glenviewfinance.com.