Bank of America Enters Car Subscription Space With Volvo

Bank of America is the finance provider for Volvo Cars’ new subscription service launched late last year, David Hollodick, the bank’s senior vice president of consumer vehicle lending, told Auto Finance News. All of Volvo Car Financial Services’ loan and lease originations end up on Bank of America’s balance sheet, Hollodick explained, including subscriptions to […]
  • William Hoffman
  • January 24, 2018
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Bank of America Grows Portfolio in 4Q, Preps for ‘Softening’

Bank of America grew its auto portfolio by $3 billion in 2017, but expects some “softening” in the coming year, the company reported in fourth-quarter earnings this week. Average loans and leases topped $53 billion in the quarter compared with $50 billion during the same period the year prior. Although the company does not break […]
  • William Hoffman
  • January 18, 2018
  • 0

Volvo Sticks to Finance Strategy Amid EV Push

Volvo Cars became the first automaker to commit to producing a full line of electric or hybrid vehicles by 2019 last July, but this plan is not prompting a shift in the OEM’s financing strategy. “We see no difference in how we approach electrified cars from our finance company perspective,” a company spokesman told Auto […]
  • William Hoffman
  • October 4, 2017
  • 0

Auto Delinquencies Climb, Despite Low Unemployment

Historically, there has been a “very high correlation” between auto delinquencies and the unemployment rate, yet, today unemployment is the lowest it’s been in a decade while delinquencies have climbed to levels not seen since the financial crisis, Hylton Heard, senior director in Fitch Ratings’ U.S. ABS group, told Auto Finance News. “A lot of […]
  • William Hoffman
  • May 12, 2017
  • 4

Volvo Captive Offers Short-Term Leases to Boost Brand Loyalty

Volvo Car Financial Services is developing 12- and 18-month lease products as a tool to bridge consumers between cars, Tony Nicolosi, the captive’s president, told AFN. Though the product will likely have a limited customer base, Nicolosi expects that it will help keep consumers coming back to the brand. Typically, finance companies avoid extending lease […]
  • William Hoffman
  • May 10, 2017
  • 0

Volvo Captive Seeks Off-Lease Vehicles, Despite Value Drop

Volvo Car Financial Services is looking to grow its lease penetration to deliver more “lightly used vehicles” to its dealer partners, the captive’s President Tony Nicolosi told Auto Finance News. Historically, Volvo Car Financial Services embarked on a “restart” in 2012 after the parent manufacturing company was sold by Ford Motors in 2010. After the initial […]
  • William Hoffman
  • May 9, 2017
  • 1

Volvo’s U.S. Captive to Offer Financing for European Models

Volvo Car Financial Services will begin to offer financing for U.S. and Canadian consumers that want to purchase European models without waiting the usual six-month registration period, said David Carroll, the captive’s national sales manager for Canada. The program — which will launch sometime in the first or second quarter — is modeled as a European vacation […]
  • Natalie Mattila
  • January 9, 2017
  • 0

Volvo Car Canada Launches Retail Captive

Volvo Car Canada will be “very aggressive” with financing next year, following the launch on Dec. 14 of its retail finance captive, Volvo Car Financial Services, said David Carroll, national sales manager for Canada. “It’s important for customers and our retailers to receive a high level of support and service, and frankly, that can’t be […]
  • Natalie Mattila
  • December 23, 2016
  • 1

Volvo Financial Debuts E-Contracting Nationwide

Volvo Car Financial Services is launching e-contracting — via the Dealertrack platform — for Volvo dealers nationwide, Dealertrack announced yesterday. This development came on the heels of a completed regional pilot, after which dealers cited a streamlined process that yielded “faster and often same-day contract funding,” according to a press release. “We see e-contracting as an important part of the […]
  • Brad Bergan
  • July 19, 2016
  • 2