Trending auto loan rates in 2020 were at historic lows. But today, the auto loan rates have doubled. This fact has pushed the loan terms from 60 months to 72 months and even longer because the monthly payments are beyond the average consumer’s comfort level.

 

For these reasons, AutoLine has pioneered an equity balloon financing platform called the Pay-It-Forward auto loan. Unlike conventional balloon financing, the end balance is 50% of the future market value so the customer builds equity over the loan term. Our proprietary single screen loan calculator compares conventional loans with Pay-It-Forward (“PIF”) loans for 24, 36, 48-, 60-, 72- and 84-month terms. Dealer F&I managers and credit union loan officers use the calculator to present the two loan options. PIF is for customers who want to own their vehicle, but desire a lower monthly payment that is, on average, 20% lower than a conventional installment loan.

 

PIF integrates with a log-in website dashboard, so the process requires little interruption for your staff. To learn more about PIF, please let us know when you would like to plan a 15-minute demonstration.