WALKAWAY Canada and Cars on Credit will supply WALKAWAY’s customer-first protection on every loan provided by the specialty finance company.
WALKAWAY says the partnership will see Cars on Credit customers in over 200 Canadian dealerships driving away protected from life’s unexpected circumstances, such as a job loss, disability, or loss of licence.
“We’ve been rapidly expanding by providing innovative credit products,” says Chris McMunn, president and CEO of Cars on Credit, “Partnering with WALKAWAY to protect our client’s loans is just the next step in providing industry-leading sub-prime solutions. The WALKAWAY value is undeniable, and we’re proud to be offering borrowers this protection.”
Under the agreement, one year of WALKAWAY coverage will be provided by Cars on Credit, at no cost to the customer, allowing them to return their vehicle, protect their re-establishing credit and cancel their debt in the event of a covered risk.
For dealerships working with Cars on Credit, WALKAWAY says customers will be eligible to upgrade and extend their WALKAWAY Protection for the full term of their loans.
“We deeply believe in quality credit protection and we are excited to be working with our first specialty lender providing smart and responsible debt protection for vehicle buyers,” says Vincent Beretta, CEO of WALKAWAY Canada Inc. “Whether we’re working with dealers, vehicle manufacturers or financial institutions, protecting consumers with credit protection that works is a formula for success for any brand partner. With Cars on Credit, we’re extending that protection to even more buyers.”
“Credit challenges happen for a myriad of reasons and we want our customers to know we have their back if something beyond their control arises,” McMunn went on to say, “With WALKAWAY, it’s a win-win-win for everyone involved.”
Cars on Credit is a niche provider in the subprime market offering “100 per cent non-automated, human interaction automobile lease and loan approvals.”
The company says it has loaned over $25-million and prides itself in finding solutions for its clients where others don’t. It has been servicing the subprime automotive market since 2006.
“Aligning ourselves with companies like WALKAWAY give us the opportunity to add competitive value add options to our dealers and our customers that our competition does not” says Christie Groom, VP sales and marketing.
Cars on Credit offers two competitive subprime finance programs that assist customers who cannot get financing anywhere else.
“The two programs provide dealers with the option to offer guaranteed approvals without any recourse. Unlike our competition, we do not share in the losses with our dealer partners” she says.
“We understand that car dealers prefer to realize their profit upfront and not plan for it years down the road,” she adds.
Cars on Credit uses the Dealer Track portal as a marketing tool to reach dealers.
“We were asked by Dealer Track to be the pilot dealer on their small lender platform last summer,” she says.
“This partnership has provided the business office with a seamless transition of the application from originating lender to Cars on Credit.
Groom says some dealers are not fans of subprime customers.
“The opportunity for dealers in the sub-prime market is undeniable. To attract credit-challenged customers to your dealership you need to be committed to marketing to them, supplying the appropriate inventory and developing a particular process that supports a subprime transaction. This is where many dealers fail to achieve the results they anticipate.”
She says she spent four years developing and using a training program for dealers so that they would be successful in their subprime departments.
Cars on Credit supplies the program to every dealer account.
“If dealers are willing to engage in the training program, we will be there to support them every step of the way.
“Long term relationships are the key to our success.” says Groom. “Our model is built on quality, not quantity. If we have deeper relationships with fewer dealers, the long term performance of our portfolio will benefit.”