TD Auto Finance has rolled out floorplan offerings nationwide as it seeks to get ahead of the curve of rising inventories and, subsequently, a need for boosted credit lines, said Ann Kline, the bank’s senior vice president and head of dealer commercial services.
“A lot of it has to do with the fact that we see more consolidation occurring in the industry,” Kline told Auto Finance News. “We’re starting to see a lot of dealers purchasing smaller dealerships. As the groups get larger or acquire more dealership franchises, they are in need of larger lines of credit.”
TD Auto has been gradually growing its floorplan unit and is now extending its reach to maximize dealer relationships. While many banks and captives utilize separate points of contact for retail and commercial products, TD Auto uses a single representative capable of managing both products for dealers.
“[The dealer] wants to have somebody in there who understands this business,” she said. “We wanted to make sure that before we moved out to a national launch we had the expertise behind it in terms of delivering.”
The captive plans to “leverage” those relationships as it expands nationally and aligns the program closer to its indirect portfolio, Kline said.
TD Auto has more than 100 representatives selling products across all 50 states and does business with 6,700 dealerships.Like This Post