Your finance manager landed a few deals with a loan provider and developed a personal relationship over time. So, what happens when that finance manager decides to pursue other opportunities outside of your dealership? In a high turnover industry, it’s understandable to fear losing your Finance Managers and your loan providers along with them. Know how to maintain lender relationships to ensure you are able to offer financing options to your customers while growing your business.
When your lender relationships are mutually beneficial, they’re more likely to remain loyal to your business as a whole rather than just one individual. One way to ensure this is by setting up a preferred lender program. In this program, a dealer agrees to send a select group of lenders a share of the retail paper in exchange for favorable buying practices and better finance terms. Every lender brings their own personal touches to the table and differentiates themselves in many ways. Choose your candidates based on your business’ specific needs.
Additionally, if you know both your customers and your lenders, you should have no problem maintaining healthy relationships. When you know your customer, you’re able to give lenders all the information they need. Interview customers in depth to ensure you provide a complete credit application and help your lenders better gauge risk.
Take the time to get to know your lenders as well, and gain their trust over time. Is there a certain time of day he’s unavailable? Does he have a monthly goal he’s required to hit? A great way to build relationships is to continue to help lenders hit their goals and quotas, and in return, they’ll always take care of you and make sure you hit yours too. Helping other people achieve their goals will always come back to you.
Still trying to get your foot in the door with lenders? Our ground-breaking Virtual Portfolio Management Program provides you with lender relations that will ensure you maintain a healthy dealership gross. Click here to learn more.