Minimising Finance Hazards
The world of finance is more regulated than ever, with the Financial Conduct Authority ensuring best practice is adhered to across the board. We specialise in car finance so here are our tips for minimising the hazards in the industry.
Training and tracking
Make sure your staff are up to date with FCA training and tracking. There are training modules available whereby staff can ensure they are fully compliant before stepping onto the sales floor.
There are fears that PCP could be the next PPI scandal if it is mis-sold or incorrectly explained to the customer. Making sure your staff are compliant and comfortable with the sales process is vital to minimising the risk of this.
Appointed representative
When offering finance as a dealership, a lot of responsibility comes with it. If you choose not to take on a third-party finance company (like Octane) you are liable for compliance and ensuring that all processes are adhered to and that you have the systems in place to deal with finance agreements and requests. If you are choosing to go down this route, it is important that you are fully aware of what is required.
Product portfolio
While PCP and HP make up the largest part of the finance business, consider things like extended warranties and insurance add-ons. Particularly with used cars, having products in place to protect customers in the long run. This sits well with the FCA because you are extending the car's life and protecting the customer against ad hoc costs and hindrances. Create a portfolio of products that help your customers and support them through their car driving journey – even when they exit your showroom.
If you are a dealer looking for car finance, get in touch with the team at Octane Car Finance. We are the dealer’s broker and specialise in achieving the best possible outcome for each customer. We have strong relationships with our panel of lenders and can pass those connections on to you and your customers. We offer prime, near prime and sub-prime finance, so can cater for a variety of your customers. Our team are available seven days a week so do get in touch to find out more about becoming a dealer with us. We fuel your finance.