CarFinance.com, the direct lending arm of Flagship Credit Acceptance, today announced that it’s joining the AutoGravity online vehicle marketplace as a lending partner, the companies announced in a joint press release today.
While CarFinance.com is technically a direct lender, its offers won’t operate or look any different than the other indirect lenders on AutoGravity’s platform — which includes Mercedes-Benz Financial Services, First-Investors Financial Services, Westlake Financial Services, and more that remain unnamed — Serge Vartanov, chief marketing officer at AutoGravity, explained to Auto Finance News.
However, once a lender’s offer has been accepted, the process to close that deal differs, depending on the lender. For most indirect financial institutions operating on AutoGravity the offer is closed in the dealership, but for a direct lending offer, the consumer is redirected to CarFinance.com to close the deal, Vartanov and a CarFinance.com spokesman confirmed to AFN.
Including a direct lender “fills in the gap” for consumers who select a dealership that doesn’t have a pre-existing relationship with one of the platform’s other indirect lenders, Vartanov said.
“Growth in our network of partner lenders creates more options for our users, marking another great step forward in delivering a world-class digital car shopping and financing experience,” Andy Hinrichs, founder and chief executive of AutoGravity, said in the release.
In January 2016, Flagship and CarFinance.com “migrated to a single origination system for its dealer network” with all indirect deals being originated under the Flagship brand and direct deals funded under the CarFinance brand, according to a Kroll Bond Ratings Agency report at the time.
“Our success at CarFinance.com is driven by our ability to offer a fantastic user experience as our customers secure financing for their next car,” said Gerry Quinn, vice president of business development at CarFinance.com. “Through our partnership with AutoGravity, we are seizing the opportunity to expand our reach and serve new customer segments with a cutting-edge mobile solution that complements our own digital lending platform and seamless online journey.”
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