Did you know that 65% of car shoppers feel that finance applications take too long? Whether you’re looking for a car, an RV, a motorcycle or even a boat – some of the biggest headaches in our buying lives come from the mountains of paperwork that financing or leasing a vehicle requires. The traditional loan origination process is arduous, doesn’t benefit either the customer or the lender, and increases the risk of losing a customer before they can sign on the dotted line.
Let’s face it, customers are not keen to sit in dealerships for hours and fill out reams of paperwork to hopefully get approved for a loan. In the age of instant everything, customer experience matters. If traditional vehicle dealers want to maintain and grow their customer base, they need to ensure consumer satisfaction – consumers won’t sit and wait around for a subpar experience if they don’t have to.
So how does this translate to something like auto loan origination? The old-guard method of auto financing requires customers to fill out mountains of paperwork, provide copious amounts of data and multiple forms of identity. Behind the scenes, underwriters then spend hours manually processing applications to determine a customer’s credit risk. The end result? Customers often feel like their time isn’t valued and that they are little more than a number on an assembly line. Even if you have technology in place to support increased automation and faster underwriting, as soon as your sales rep needs to make a phone call for a loan approval, you’re already too slow for today’s savvy, instant-everything consumers.
But the good news is, when there are problems or lags in an industry or process, innovation flourishes:
- Direct lending is now common, and competitive
- Online organizations are appearing everywhere, effectively eliminating the in-person dealership experience
- Big brands, especially for electric vehicles, are looking at ways to bypass dealers altogether
Enter in a new way of originating auto loans that can help transform the dealership experience:
- Smart, digital applications that automatically pull information in through a decisioning platform
- Automated KYC data, including identity verification and due diligence
- Powerful, AI-powered decisioning tools that automate data gathering, risk modeling and personalized pricing
- Loan decisions available in UNDER A SECOND
A truly memorable, satisfactory consumer experience in auto financing is fast, easily available, and most importantly, personalized. Your customers aren’t just numbers and your finance products need to reassure them of that.
Download the Provenir eBook to discover how auto financing is changing. Learn how you can improve the customer experience and innovate faster with real-time data and AI-powered, automated decisioning tools.