HOUSTON (12/9/11)--Auto Financial Group's DrivingSense balloon-loan program is gaining momentum, the company said.
"At a time when credit unions are looking for opportunities to book more loans and mitigate risk, AFG's DrivingSense program is well-positioned to appeal to credit union members looking for lower payments and flexibility," said Richard Epley, Auto Financial Group president.
"DrivingSense has always protected credit unions from residual-value risks," said Epley, Auto Financial Group president. "For the last 12 years, AFG has guaranteed predetermined residual values of the vehicles. But today, a number of industry and broader economic factors have combined to increase used-car values, allowing AFG to offer broader, more comprehensive coverage which further mitigates risk to all stakeholders."
Key features of the AFG Driving Sense balloon loan program include:
- Residual value insurance;
- Compatibility with existing indirect programs;
- Automated quoting system;
- Automated end-of-term process;
- Higher yielding loans; and
- Positioning of financial institutions to recapture vehicle financing lost to competitive low payment financing options.
New signings and renewals include:
- Anheuser-Busch Employees FCU, St. Louis;
- Congressional FCU, Oakton, Va.;
- Corning (N.Y.) CU;
- Dupaco CU, Dubuque, Iowa;
- Frankenmuth (Mich.) CU,
- GPO FCU, Utica, N.Y.
- SeaComm FCU, Massena, N.Y.; and
- Security CU, Flint, Mich.
Together these credit unions manage more than $4.5 billion in assets and serve more than 400,000 members.