Product Payment Plans Open The Profit Doors
I assume you already have a payment plan available to finance F&I products. If not, stop reading, call your F&I provider and get one!
These plans come in various forms, but all can serve equally as spring boards for your performance and income. The most common opportunity to utilize a payment plan comes with a Line 5 call when contracting a deal. It is an easy way to provide the customer with all of the product benefits without having to factor in any applicable lender restrictions. Naturally, basic affordability has to be determined by the customer (and you, the finance professional). Beyond the Line 5 call, what about cash deals, or outside liens? How about service customers? (We are working the service drive and waiting area, right?)
In an economy where most everything is going to payment-based purchasing (subscription), doesn’t it make sense to present protection options that way? Heck, we are all most comfortable presenting an affordable payment for valuable protection rather than a lump sum anyway.
Let’s look at some of today’s most common subscriptions:
- Cell phone + insurance
- Streaming video
- Software bundles
- Home services
- Car washes
- Memberships
- Insert “Vehicle Protection” Here!
Some of the most popular programs available offer 0% interest product financing for up to a certain term, usually depending on the amount financed or the term of the products being financed. There are also programs that charge an interest rate but have guaranteed approval, little to no money down and financing terms to 84 months. Regardless of which program(s) appeal to you and apply to your market, the important thing is to have them available, stay up-to-date with them and USE THEM.
A little extra work and creativity can only do one thing – Sell More Products and Make You More Money.