CCR Magazine

CCRi banner ad
You are here  :Home arrow News arrow Transparency is crucial as the face of car finance changes
Contact Us Newsletter Signup RSS Feeds

Latest News Headlines

Headlines

 
Commercial Credit News

Headlines

 
Transparency is crucial as the face of car finance changes PDF Print E-mail
Thursday, 22 December 2016
The motor industry is today urged to take a more proactive and dynamic approach to the changing face of car finance, with calls for greater transparency across the sector. 

With consumers’ rights evolving too, the advice is loud and clear; car finance providers are encouraged to stay on top of the changes and remain visible and accessible.

Finance needs to be easy for the customer and regulation should focus on staging the sales process and drip-feeding information at appropriate times – not bombarding the customer with a multitude of mixed messages just to prove that they were fully informed.

Alphera has released this insight in the latest chapter of its thought-provoking research report. ‘Financing the Car of the Future,’ a visionary document that pulls together insight from across the automotive, retail, technology and finance sectors, warns the industry to take a more positive approach to changes in car finance.

Paul Bentley, Retail Operations Director at Lookers, has contributed to Chapter Two, which is titled ‘Credit: The changing landscape’. It examines the shifting landscape and the impact it is having on motorists and dealers.

He said: “Regulation continues to be an evolving process and we, like others, are working closely with the NFDA, FLA and FCA to establish standards and processes that consistently deliver good customer outcomes while remaining workable in the business environment. Transparency is crucial and the industry needs to work together.

“We need to continue to enhance our businesses in every way to meet the customers’ high expectations, it’s a bit like when you carry out home improvements to improve your quality of life, only in business if you want to rewire your house, you can’t just switch off the electricity! So, moving forward, it is all about ensuring change is at the right pace for our customers and our people to be able to embrace it.

“Technology plays a crucial part in this process, making the whole customer journey a lot more straightforward and personalised.”

The chapter explores the influence of the Consumer Rights Act 2015 – one of the biggest factors to impact the sector – and the many ways it has been good news for car buyers, allowing them greater protection. It also shares concerns from dealers about the consequences of the Act for business.

In addition, it highlights the growth of point-of-sale finance, driven by increasing levels of unsecured consumer borrowing, and further changes to the Financial Conduct Authority (FCA) guidelines.

Alphera’s thought-provoking report profiles the many opportunities for the motor finance sector over the coming decade. It brings together a variety of diverse voices from across academia, trade bodies, dealer networks, brokers and automotive suppliers, prompting far-reaching debate across the industry.

The latest chapter provides hard-hitting insight from industry experts and is the fourth instalment to be released. Previous chapters covered alternatively fuelled vehicles, emerging technologies and the UK’s transport revolution, and the impact of the internet on motor trade.

Gerry Kouris, ALPHERA’s Financial Service marketing manager, commented: “The automotive retail sector is changing as consumers’ rights evolve. This should be seen as an opportunity to firmly position car finance as transparent, accessible and customer-friendly.

“As an industry, we must listen to our customers and work with innovators to ensure the products we deliver in the future match the demands of an evolving financial marketplace, one that may be more tightly regulated in the months ahead.”

He added: “It is therefore vitally important for car finance providers to be aware of potential changes, rather than sitting back and waiting for them to happen. The release of this chapter provides essential insight, enabling them to always stay one step ahead.”
 
CCRI
3 October - Guoman Tower Hotel, Central London 

CCRInteractive, in association with Marston Holdings , is the largest and leading one-day conference from the publishers of CCRMagazine – a truly national and international event for the credit industry.

This landmark event allows delegates to: Learn best practice of how to increase profitable sales in today’s economy. Understand the key compliance issues and how they will impact upon you. Discuss the legislative and regulatory framework and how it will effect you. Consider the potential effects of Brexit on your business. Discover the latest innovations in the market to improve your collections. Motivate your staff to achieve ever improved results.

To book to attend in 2017, contact Stephen Kiely  or Alison Lucas. To find out more about being part of this landmark event, please contact Gary Lucas
CCRI 

 Forums International Ltd

Forums International Ltd

 Attendance at your first meeting is free of charge, and please quote reference 'CCR2016' to receive the special 10% discount off of your first annual subscription.

Find out more here.

latest issue

CCR Cover

The latest edition of CCR Magazine, the leading editorial publication in the UK credit industry, is out.

Read the latest issue online

The Credit Excellence Awards

Awards 

Tuesday 3 October - Guoman Tower Hotel, Central London


Do not miss your chance to meet and network with the Winners and Finalists at the Credit Excellence Awards, in association with Hoist Finance.


To book your place to attend, please contact Alison Lucas.


subscriptions

CCR is the premier magazine for consumer and credit professionals. It provides an independent voice to the industry, breaking major news stories and running in-depth features.

As a magazine, it works with and campaigns on behalf of the credit industry to promote its importance as a centre of potential profit and business development to the wider business world.

Subscribe to CCR Magazine

CCR World Magazine


 

Providing information and analysis for thousands of senior credit professionals worldwide, every quarter.

Find out more

GTS Media Ltd
81 Cambridge Road
Southend-on-Sea
Essex
SS1 1EP

Registered in England No: 05483197