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15Cars

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Evening All

I've just received my FCA permission through. I'm initially going on with Close Brothers - I haven't given much thought about sub-prime yet - is it even worth it? Your thoughts are most welcome.

My stock is mainly VW, up to 9 years old, 1 or 2 owners, FSH, highly prepped and under 70k miles. I'm in a semi-rural fairly affluent location, nearest city is 25 miles away, my customers tend to be very similar; frugal, 35-60 years old, middle class and funds don't seem to be an issue but price, condition and the history of the car does. It's rare that I'm asked for finance as my punters don't appear to need it.

Naturally I'm frothing at the mouth to start putting some finance deals through to progress into the higher commission zone so I'm wondering if you lot find a particular price point, brand or some other demographic that is likely to attract more sensible finance punters? I'm unlikely to change my current model drastically as it seems to be working but I'm curious none the less.

Cheers

15

Edited by 15Cars

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Don’t see how finance fits into what you’re doing at all based on what you said you would need to change profile.

In my view “sensible” finance customers buy late stuff from shiny car supermarkets not 9 year old stuff. 

Interested to see what others think.

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25 minutes ago, Mojo121 said:

Don’t see how finance fits into what you’re doing at all based on what you said you would need to change profile.

In my view “sensible” finance customers buy late stuff from shiny car supermarkets not 9 year old stuff. 

Interested to see what others think.

TBF, I said "up to 9 old year stuff" - most of the stuff I sell is 2 to 5 years old. But, I get what you're saying, I guess I'm just hopeful of some extra revenue

Edited by 15Cars

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18 hours ago, 15Cars said:

Evening All

I've just received my FCA permission through. I'm initially going on with Close Brothers - I haven't given much thought about sub-prime yet - is it even worth it? Your thoughts are most welcome.

My stock is mainly VW, up to 9 years old, 1 or 2 owners, FSH, highly prepped and under 70k miles. I'm in a semi-rural fairly affluent location, nearest city is 25 miles away, my customers tend to be very similar; frugal, 35-60 years old, middle class and funds don't seem to be an issue but price, condition and the history of the car does. It's rare that I'm asked for finance as my punters don't appear to need it.

Naturally I'm frothing at the mouth to start putting some finance deals through to progress into the higher commission zone so I'm wondering if you lot find a particular price point, brand or some other demographic that is likely to attract more sensible finance punters? I'm unlikely to change my current model drastically as it seems to be working but I'm curious none the less.

Cheers

15

I'm surprised you haven't had many ask about finance already. I'd imagine many of your middle class punters are strapped to the eyeballs in Mortgage and credit card payments. Make it very prominent in your ads. They will be borrowing it from somewhere. you may have had some clues so far. A credit card deposit and 'collect in a few days' (so they can sort the loan out.). just sent a car back that was on PCP 'because they never own it' and now looking at a 3 year old car with you. not got a company car any more, get an allowance instead.

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56 minutes ago, MattR said:

I'm surprised you haven't had many ask about finance already. I'd imagine many of your middle class punters are strapped to the eyeballs in Mortgage and credit card payments. Make it very prominent in your ads. They will be borrowing it from somewhere. you may have had some clues so far. A credit card deposit and 'collect in a few days' (so they can sort the loan out.). just sent a car back that was on PCP 'because they never own it' and now looking at a 3 year old car with you. not got a company car any more, get an allowance instead.

Good points, Matt. Now I think about it, it make sense, I have sold a number of £4-7k stuff to people that have handed back their PCP motor and I’m often left a £200 deposit for week before they come back with the wedge.

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On 12/6/2019 at 7:58 PM, Mojo121 said:

Don’t see how finance fits into what you’re doing at all based on what you said you would need to change profile.

In my view “sensible” finance customers buy late stuff from shiny car supermarkets not 9 year old stuff. 

Interested to see what others think.

We sell tonnes of finance on cars 6-12 years old all German, and sports models, Sline m sport etc. Up to 120k miles.  
 

basically flash for not a lot of cash and to people that can’t really afford it.

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