Selected by CIO Review as one of the Top 20 Most Promising Automotive Tech Solution Providers in 2014.
By David Meyer, Executive VP
Chances are, you’re seeing more customers with credit challenges coming into your dealership looking to buy a car. They’re also looking for the right financing to meet their needs. And while this is certainly good news for the BHPH industry — and your dealership — it’s important to remember that the deeper your customers’ credit scores, the higher your risk. Protecting yourself from this risk begins the moment you start the application process.
While the automotive industry seems to be recovering nicely, performing proper due diligence during the finance process is more critical than ever. That includes taking the time to run customers’ credit reports, checking into their payment histories, and verifying STIPS.
Taking these steps will not only protect you from the risk of costly delinquencies, defaults and repossessions. It will also serve to help your customers get into a vehicle they can actually afford. Many customers are eager to buy cars that may be beyond their financial reach, despite the fact that they may not be able to make the payments one year or even one month down the road. By looking at their credit reports and payment histories, you’ll be helping your customers make practical, sound decisions — potentially avoiding the pain, embarrassment and inconvenience of a repossession in the future. You’ll also be helping customers rebuild their credit, so the next time around they will be able to afford that higher value vehicle they have their eye on.
Running credit reports and payment histories are responsibilities you’ll have to impart with your own team. But GoldStar GPS can help when it comes to confirming STIPS. GoldStar GPS comes with a suite of powerful reports, including one that tells you when and for how long the vehicle is parked in a certain location over a period of time — one week, one month, or several months. So if you see a vehicle is repeatedly parked in the same location 9 to 5 every weekday, chances are high this is a place of work. If you see that same vehicle parked in another location overnight, every night, you can bet this is the customers’ place of residence.
Putting your customer in the right car for them from the get-go will go a long way to helping reduce your risk. For even more protection and security on your sales, make GoldStar GPS a part of your dealership strategy. Visit GoldStarGPS.com to learn more.