Do You Offer Financing?

[Tom]

With any question like this, I like to first write a description of who are my target customers (or review what I have previously written).

Then the question is whether this particular service is likely attract or repel those customers.

[shadowoods]

Does anyone have some experiences to share with specific financing companies?
Thanks,
RJT

[lortech]

How about finacing with a down payment? I would, but only with a credit check. If they have paid on time with all the other debtors then would be sound judgment to except it. I think also that the population is to engrossed in the “It wont happen to me syndrom” meaning, I do not except break downs. I do not expect to loose my job. I do not expect to have a expected roof repair. Customers do not save for emergencies anymore and also, go into debt using credit cards. Did you know the nations savings rate at the height of the crash was at -1 %?. That is stark contrast to the average savings rate of 10% in 1984. A healthy savings is a shock to unexpected emergencies including layoff.

[adamkushner]

I have several clients that are BOSCH Service Centers.  It is worth becoming a BOSCH shop for the financing program alone: http://www.boschcarservice.us/Pages/BoschServiceCreditCard.aspx

The credit card program works great and I recommend it.

[hoauto]

Thank you for the information Adam.

What is the cost to the merchant? Is there a monthly fee as well as a cost per transaction?

We have looked into a couple of programs that have monthly costs associated with them as well as transaction fees. We had the Car Care One card at one time, but the number of customers declined was pretty high. There was also a $35/month charge just for the privilege of having the card available to our customers. It has been several years since we dropped the program, but it seemed very expensive at the time.

We are even considering a limited “in house” financing program. We would of course prefer paid when picked up. There was a recent article in Wratchet and Wrench that discusses this topic.

I am interested in what other shops are doing too.

Andy

[davesgarage]

I formerly did in-house financing this way; 1/2 of final invoice paid when car picked up, check written and dated for balance no later than 30 days out, credit card swipe on file if checks NSF. It started out as a “one time” thing for customers, but they [that used it] always wanted to do it again. I no longer offer the plan.

[Alan Ollie]

We are a Bosch shop i haven’t had a customer who wanted the card yet. We push it to lots of customers . As soon as they see it is a credit card the answer is no thanks .

[Adam Woodill]

Check out https://www.gogecapital.com/en/consumer-credit-financing/index.html GE Capital.  They have been a great resource for us.  No interest in paid within 90 days among other benefits.  We were able to help a dozen or so customers who would have had to find a “neighborhood” mechanic to hack up their vehicle.