Fiserv, Inc. announced Sept. 20 that a recently signed agreement with DealerTrack enables the company to offer an end-to-end loan and lease system to automobile lenders.
Fiserv targets the vehicle finance market through two business units – Fiserv LeMans and Remarketing Services of America (RSA). Lenders in the automobile industry use Fiserv LeMans for loan and lease portfolio management and credit processing. RSA bills itself as the nation’s leading provider of strategic remarketing and lease maturity management.
The DealerTrack Web-based system, available at no cost to auto dealers, automates the automobile dealer-lender process from application to daily information sharing.
With the DealerTrack agreement, Fiserv offers fully automated auto financing to lenders. DealerTrack provides a front-end connection between dealers and lenders, while systems from Fiserv LeMans handle application processing, portfolio management and customer service, and RSA takes care of vehicle disposition. The Fiserv LeMans options include a full range of outsourced services to complement system offerings.
“A financial institution’s involvement starts the moment the customer enters the showroom and continues throughout the term of the loan or lease,” said Kevin J. Collins, president and CEO of Fiserv LeMans. “To make that relationship profitable, the institution, whether a bank or a captive finance company, must control every detail and be timely in their responses.”
Under specific terms of the cooperative marketing arrangement, Fiserv LeMans will develop a plug-and-play product tying the DealerTrack online application system to VehicleLinQ, a new Fiserv LeMans suite of browser-based products. Fiserv says the interface will make it simple for financial institutions using products from Fiserv LeMans to connect with the DealerTrack online application system.
DealerTrack allows auto dealers to submit a consumer’s credit application online to multiple financing institutions. Dealers have typically relied on fax machines for arranging financing for their customers.
With the VehicleLinQ product, the application will feed directly from DealerTrack into the Fiserv LeMans Credit Processing System, which automates the entire decision process, including application and account checks, credit review rules, credit bureau and custom scoring, discounting and funding. Within seconds of a dealer submitting a loan or lease application through DealerTrack, the VehicleLinQ credit processing system will respond with the lender’s credit decision. Dealers also can access real-time application and contract status information from each online lender using the DealerTrack platform and communicate directly with credit analysts at the lender’s site.
“VehicleLinQ was developed to manage a portfolio from credit processing, discounting and booking through collections, inventory tracking, auction sales, recoveries for end-of-term amounts, customer service and title management,” Collins said. “With the DealerTrack alliance, Fiserv enhances its full-service capabilities for the automotive finance industry. We are committed to providing the ultimate market-driven solutions for our clients at every step in the financing process.”
“Fiserv LeMans portfolio management systems are in wide use throughout the automobile lending community, and by making it easy for lenders to connect their Fiserv LeMans systems with DealerTrack, we are both providing an important service for our financial institution clients and expanding the universe of lenders that will become online participants in the DealerTrack platform,” said Mark O’Neil, president and CEO of DealerTrack. “This new alliance will also help to further our electronic contracting capability, a feature that our lenders have requested.”
Andrew J. Shaevel and Stuart H. Angert, co-CEOs of RSA, called the partnership a “breath of fresh air” for both lenders and dealers. “As providers of the end-to-end solution, RSA and Fiserv LeMans are committed to enhancing client portfolio profitability and reducing expenses, creating a competitive advantage for our client partners,” Shaevel and Angert said.
About DealerTrack
DealerTrack (www.dealertrack.com) is an independent, Web-based auto finance enabler for automotive dealers. The company says it provides an impartial end-to-end loan and lease transaction channel that improves efficiencies and profitability for lender and dealer users by automating credit processes, speeding lending communications and improving transaction efficiency through the use of the Internet.
More than 8,000 dealerships nationwide, both individual stores and large dealer groups, currently use the DealerTrack system. Formed by a lender consortium, DealerTrack is owned by J.P. Morgan Chase & Co., AmeriCredit Corp. and Wells Fargo & Company.
For more information about DealerTrack, auto dealers may contact Rick Pinto, national sales manager, at (631) 486-1655, or email rick.pinto@dealertrack.com; lenders may contact Rich McLeer, national lender relationship manager, at(631) 486-1649, or email richard.mcleer@dealertrack.com.
About Fiserv, Inc.
Fiserv, Inc. is an independent, full-service provider of integrated data processing and information management systems to the financial industry.
As a technology resource, Fiserv serves more than 10,000 financial services providers worldwide, including banks, broker-dealers, credit unions, financial planners/investment advisers, insurance agents and companies, mortgage banks and savings institutions.
Headquartered in Brookfield, Wis., Fiserv can be found on the Internet at www.fiserve.com.
