(i.e., let the professionals deal with the loans, but local owners can still service the account)
When a dealership owner decides to pursue the BHPH business model, it’s with the understanding of the risk and the quality of credit their customers are likely to have. It’s not just common sense but also basic knowledge of the business that the deals you create for car buyers must take the possibility of default into consideration. Contracting risky buyers is simply part of the subprime and nonprime auto business and the anticipation of collections and defaults on non-paying customers is factored into the equation.
That doesn’t necessarily mean that’s how a car dealership wants to be spending their time and resources. There are many reasons to separate debt collections from your showroom floor. Not only does it look and sound bad to new and good-status customers, it is a role that an employee (and sometimes, an entire department) needs to commit to. These same people need to be well-versed in the laws and regulations of your area need to avoid any infractions or risk being fined or even shut down.
Lastly, the majority of independent dealerships don’t have the technological and legal/financial resources to cost-effectively manage and services a large volume of contracts. This essential part of the business operations of a dealership becomes a burden and ever-growing risk if it’s not handled properly from day one. Glenview Finance has a high level of specialized service for these specific kinds of dealerships and deep experience in the auto finance industry which makes a partnership with us all the more appealing to owners.