All articles by Richard Irvine-Brown
Richard Irvine-Brown
F&I industry argues against Mail’s “pricey” finance claims
A report by the Daily Mail has raised eyebrows in the dealer finance world by suggesting that dealer finance is an expensive option for customers compared to high street personal loans. The report, published last Wednesday in the Mails This is Money section, derided recent figures from the Finance & Leasing Association (FLA) which showed two-thirds of customers were opting for point of sale funds, saying alternative personal loan interest rates starting at 6% were available. Louis Rix, director of car finance broker Carfinance247, said the report was ambiguous and emphasised rates as low as 6% would only be available to prime candidates.
Lender’s ‘standard processes’ PPI victory
Another court case dealing with the mis-selling of payment protection insurance (PPI) has ended in judgement favouring Black Horse, the motor finance lending arm of Lloyds Banking Group. Allegations of PPI mis-selling were rejected in the case of McCrossan & Gould v Black Horse Ltd heard at Liverpool County Court, as were allegations of an unfair relationship and of breaches of the Insurance Conduct of Business rules relating to PPI product suitability.
Motor Finance Round Table: A best practice approach to underwriting
For the latest Motor Finance round table, in conjunction with Transition Computing, 11 experts from the UK motor and asset finance industries were invited to the Cornhill Dining Room in London to get to grips with the pros and cons of automated and manual underwriting and the challenges of dealing with consumer credit information.
VWFS, happiest people in car finance?
Volkswagen Financial Services (VWFS) has been named the 11th Best Workplace in the UK in the large employer category (500 staff) by the Great Place to Work Institute According to the Great Place to Work survey 2012, VWFS was the highest placed employer in the car finance industry, ahead of Volkswagen Group in 21st
Latest judgement signals change in PPI tide
An appeal to overturn a decision that a claim of mis-sold of payment protection insurance (PPI) should be allocated to the fast track, and not moved to the small claims track, has been rejected. His Honour Judge Jonathan Simpkiss rejected the appeal in the case of Linda Loughlin v Black Horse Limited (2012), whereby Ms Loughlin, represented by Wixted & Co Limited, was claiming just over £2,000 for the alleged mis-selling of PPI. HHJ Simpkiss rejected Ms Loughlins claim she failed to take into account an alleged unenforceability claim and that the limitation defence and alleged breaches of the General Insurance Standards Councils Code of Conduct meant the case was complex, and should therefore not remain on the small claims track.
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Record quarter for used car values
The average value for a used car reached a record £6,114 in Q1 2012, according to British Car Auctions (BCA), the highest value for a first quarter since BCAs Quarterly Pulse Report began in 2005. Across fleet, part-exchange and nearly-new, the average value of a second-hand vehicle was up by 3.64%, an average of £215 per vehicle, year-on-year, and up 6.85%, £392 per vehicle, on Q1 2008, before the bite of the recession and credit crisis. Going by the BCA Price Index, the average value of a used vehicle for the first quarter of 2012 was 127.9% of the average value recorded in the first quarter of 2005, £4,780, just short of the 129% peak in the third quarter of 2009 and third quarter of 2011.
Ducati launches new PCP model
Landmark motorcycle manufacturer Ducati has launched a new PCP scheme in the UK called TriOptions through its Ducati Finance brand, backed by Black Horse, the Lloyds Banking Groups motor finance arm. Under the scheme, customers have the option at the end of a contract to either part-exchange the bike, return the bike or pay any outstanding finance to take full ownership of the bike
Mercedes-Benz commercial break
Mercedes-Benz Financial Services UK has doubled the volume of its vehicle finance since 2009, although mostly in fleet and commerce Alex Matthews, director of commercial vehicles and direct sales, talks to Grant Collinson and Richard Brown.
Secure in themselves
Following Secure Trust Bank’s flotation on AIM and with a myriad of products set to come, lending director David Nield, national sales manager George Miller and head of lending development Andy McMorine at the banks car and retail finance provider Moneyway talk to Richard Brown.
Firms’ £525k warning against money laundering
The Financial Services Authority (FSA) has urged finance companies to take stock of their anti-money laundering protection after fining the UK operation of Habib Bank AG Zurich £525,000 for insufficient diligence. Karen Wagstaffe, head of compliance at KMW Automotive Solutions agreed companies with Money Laundering Reporting Officers (MRLO) or Controlled Functions, typically directors, owners and those holding group F&I roles need to be mindful that they have their anti-money laundering policies up to date and are checking their staff are adhering to them. Wagstaffe, however, warned recent FSA penalties could stifle companies in the current economic climate and the authority needed to judge whether its actions and warnings were effective and not aggressive.