Subaru Enters Lending Business
The automaker follows other brands in adding captive financing in the U.S., and says the move will strengthen its position here.
Subaru said it plans to offer 'a full range of financing options, including retail loans, leases, and floor plan financing.'
Pexels/Atlantic Ambience
Another automaker has added captive financing to its stateside offerings.
Japan-based Subaru, in announcing the move, said it also extended an existing partnership with U.S.-based Chase Bank to provide financing to its customers during its transition to captive loans.
“Subaru customers with existing loans and leases will not be affected by the changeover,” the automaker said.
It plans to offer “a full range of financing options, including retail loans, leases, and floor plan financing, with a target date of 2030.”
The automaker closely follows Europe-based Stellantis in entering the captive-financing business here. Stellantis said the addition is part of efforts to put customers at the center of its strategy and help its dealers increase business.
Subaru’s Chairman and CEO Yoichi Hori called the move, “a strategic opportunity to create future growth and continue our focus on customer loyalty."
And the president and CEO of its U.S. arm, Jeff Walters, said captive financing gives Subaru “a stronger foothold in the U.S. market and allows us to grow our relationships with our customers and retailers.”
More Auto Finance
Positive Equity Reaches Record High
Mainstream vehicle owners who bought a car seven years ago are likely to have positive equity when trading in for a new vehicle, according to second-quarter Edmunds data.
Read More →
Dealerships Are Paying the Price for Extended Car Loans
Growing negative-equity scenarios mean such lengthy terms should be addressed in a forward-looking way to make them work for the dealer and the consumer down the road.
Read More →
Trade-Ins in Negative Equity Reach New Heights
As such trade-ins rise in frequency, so do monthly loan payment amounts and interest rates, according to second-quarter data compiled by Edmunds.
Read More →
Auto Credit Plentiful
June numbers show lenders are readily granting access, including to risky borrowers, as consumers leverage themselves to take on high prices.
Read More →
Automotive Consumers Sink Further in Debt
Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.
Read More →
Porsche Financial Services Shifts Structure
After 36 years with Porsche, the Financial Services Chief Financial Officer Konrad Riedl is retiring, and the department is realigning its management structure.
Read More →
Tariffs Could Raise Insurance Premiums
As U.S. import tariffs affect repair costs, consumers might find it more affordable to replace a damaged vehicle, according to recent Insurify tariff analysis.
Read More →
Smaller Loans, Longer Terms
The youngest generation of car buyers is more likely to finance less expensive vehicles, more than half of generation Z consumers borrowing less than $25,000.
Read More →
New Cars a Tad More Affordable
May averages show that combined circumstances gave auto consumers slightly better buying power for the month, though average prices were up year-over-year.
Read More →
First-Quarter Sees Long Auto Loan Growth
Experian data show more consumers are tapping the method, along with refinancings, to afford buying. Meanwhile, subprime borrowers are getting more access.
Read More →