Auto Financial Group announces new lease choice
HOUSTON, TX (October 27, 2016) Car Financial Group, Inc. (AFG), an online provider of innovative financing products for cooperative credit union and banks, announced today that they have begun using lorry leasing in addition to their reallyincredibly popular walk-away balloon loan program.
” We picked particular states around the country where leasing provides a distinct advantage over our walk-away balloon loan program, which has actually been one of our conventional item offerings,” stated Richard Epley, CEO of AFG. ” Leasing makes more sense for some customers in these states, because sales tax laws are more beneficial to leasing, and since producers are preparedwant to provide huge rewards to people who lease.”
Consumers in Florida, California, Michigan, Illinois, Washington, Massachusetts, Ohio, Wisconsin and Pennsylvania can take benefitbenefit from AFG’s new lease program, with more states being available in the future.
Among the biggest advantages to leasing a lorry includes the quantity of sales tax, which differs by state. In some states, consumers pay sales tax on the overall worth of the lorry. In others, the purchaser just pays sales tax on his or her month-to-month lease payment, instead of the total cost of the car, which is substantially lower.
” In mostthe majority of the states we have actually selected, the sales tax is determined on the month-to-month payment,” Epley said. “When you purchase a vehicle in Michigan, for instance, you pay six percent sales tax on the sales priceprices of the automobile. However, if you rent an automobile in Michigan, you pay only 6 percent of the regular monthly payment.”
Another unique advantage to renting a lorry is being able to take advantagebenefit from producer rewards.
” Some makers will use incentives for leased cars, which are done on particular models and during specific times,” Epley stated. “The reward can drop the expense by as much as $3,000 per car, which will significantly lower a customer’s month-to-month lease payment.”
Inning accordance with Maury Dikker, Leasing Director for AFG, some credit unions and dealerships will use both AFG’s lease choice and AFG’s Balloon Financing program.
AFG has actually been using residual based financing because 1999 and expects to see additional growth by now including lorry leasing. ” We take 100% of the residual value risk and entirely manage the end-of-term process. The goal is to provide our partners with the bestthe very best items for their consumers,” said Dikker.
About Vehicle Financial Group (AFG).
Automobile Financial Group (AFG), a Houston-based business, provides an online, recurring based, walk-away vehicle funding item called AFG Balloon Lending, in addition to lorry leasing and car remarketing to financial organizationsbanks across the United States. AFG’s residual based financing solutions supply the benefits of lower payments, flexible terms, when it comes to the balloon loan, actual ownership of the vehicle and numerous end-of-term alternatives, consisting of the choice to surrender the lorry and walkleave in lieu of paying the final loan payment. The monetary institution gets greater loan yields, a competitive residual based financing option, and AFG handles the whole end-of-term procedure. The AFG Remarketing program is a proven option for monetary institutionsbanks that uses the greatestthe best monetary return to their customers by matching assets to the selling network with the biggest number of buyers. While competitors utilize a central method to liquidate possessions, AFG uses selling networks varying from traditional vehicle auctions to direct wholesale to internet selling platforms.
For more info about AFG’s new lease program, please contact Maury Dikker at 713-812-3333 (toll complimentary at 877-354-4234) or see www.autofinancialgroup.com.
Lynne Marie Hash
713 458 1688 office
713 458 1691 fax