One of the most common questions I get from dealers and finance managers is, “Are there any new banks out there?” After asking a few questions, I usually find that they have a good variety of sources — they just aren’t utilizing them to their full potential.
Easy enough to say, but how do you get more out of what you already have? Here are the five things that the most successful finance managers do to create long-term, profitable relationships that allow them to get more out of what they have.
They Are Friendly
Underwriters talk to people all day long about potential loans. Most of the calls they get are from people either trying to talk them into doing what they can’t do, or telling them it’s taking too long. Top finance managers set themselves apart by getting to know who they are talking to. They find out what they are interested in and talk about whatever that is. Does the underwriter have pets? Do they like sports? Do they have a family? These finance managers know that if they make a friend, both of them will enjoy their jobs more and will work together better to make more deals happen.
They Are Educated
First, they pull every customer’s credit file before submitting it for financing. They also know all of their bank’s criteria. By knowing a customer’s credit and what the banks will finance, they can send each customer to several banks that might possibly finance them. In addition, if the customer is not approved, then they have a good idea as to why. This will allow them to form a more compelling case for why the customer is financeable before calling the bank back.
They Work Smart
They know there is no reason to take up an underwriter’s time looking at a customer who has no chance of being approved with that bank. For example, if a finance source will not finance a customer with a bankruptcy, outstanding child support or a past-due mortgage, don’t send a customer with those issues to that bank. Send that customer to one that will. There are plenty of automated systems that allow you to submit a credit application without occupying too much of an underwriter’s time.
They Are Generous
They are generous with their words and actions. They thank the underwriters for helping them and occasionally send a thank you gift (if allowed by their financial institution). They even go so far as to buy them lunch or send them a gift card to take themselves out to dinner. However they decide to show their appreciation, they do it often and with no expectation that it will be returned.
They Are Always Honest
They never, ever lie to the bank! If they know a deal is bad or that a stipulation is not being met through honest means, they let the bank know. They are always looking out for the bank as well as their relationship with the bank. They may lose a deal here and there due to their own honesty, but they understand that they stand to lose a lot more by burning that bridge.
Many relationships are forged through these same actions, and good financial managers understand that it is all about relationships. I can’t emphasize that part enough. It’s all about relationships!
Steve Dodds II is a moderator, trainer and consultant for Gart Sutton and Associates with experience in every position in the sales and finance departments. Dealers rave about his ability to identify areas for improvement and implement the changes that produce superior results. If you have questions about what he or one of our other talented consultants can do for you, contact us at [email protected].
