Startup Clutch Canada Signs Bank of Montreal as Lender

Clutch Canada, a new Canadian online used-car dealership in Halifax, Novia Scotia, has signed Bank of Montreal as a lender, Auto Finance News has learned.

Customers can use the Clutch website to browse inventory and book a test drive with a “Clutch Car Enthusiast” who will bring the car to a location of the customers’ choosing — such as a customer’s home, work, etc.

Clutch Canada finalized its agreement to have Bank of Montreal as a prime lender late last week, according to co-founder Stephen Seibel.

“We are strong believers that most people don’t want to buy a car entirely online,” Seibel said, adding that brick-and-mortar car shopping at a dealership is difficult since all traditional dealers in Halifax are closed on Sunday and operate only until 5 p.m. during the week. Clutch Canada is available seven days a week, and test drives occur between 7 a.m. and 8 p.m.

Clutch Canada has 30 vehicles in its inventory and acquires them through auction, fleet sales, and trade-ins from customers.

The online dealership has existing prime lending relationships with lenders like Carfinco, in addition to using RouteOne for access to multiple lenders. Separately, the startup is backed by $1.18 million USD in venture capital funding.

In 2018, the company plans to expand outside of its 60-mile radius of Halifax, as well as sign with more banks across the lending spectrum.

  Like This Post