An Evolutionary Hypothesis

I am a geek. I proudly carry that mantle. I get psyched about RAM. I use my iPad to keep the batting order for my Little League team. I have had serious conversations with people about why my five-year-old is being taught how to write in school. I mean, seriously, why does he need to know how to write? How much writing is he going to do in his lifetime? Other Kindergarteners are already being issued iPads. 

It is in this context that I present the following question: Why can’t I apply for a car loan and be issued a direct deposit on my iPhone? 

There is a website in Sweden that allows users to obtain car prices by taking pictures of the vehicle’s license plates. What is keeping some entrepreneur from making the next step and asking the user, “Would you like to purchase this vehicle?” When the user clicks yes, he or she is taken to an app that acts as a loan application. After filling out the information, an instant decision can be rendered, and then the funds could be automatically deposited into the user’s bank account. One mobile transaction later, the funds are deposited into the account of the individual selling the car. 

What is keeping the auto finance industry from developing such technology? Turning the car-buying process into a point-of-sale, impulse purchase can only mean more originations. This can also be applied to other industries, like boats, RVs, motorcycles, even houses. 

There are new and exciting technologies being discovered every day. Believe me. I read about most of them. But I can’t recall the last time I read about an exciting new technological advancement within the auto finance industry. Auto finance isn’t sexy. But that doesn’t mean it can’t be.