Bank of America Grows Direct-to-Consumer Loans with VINtek's Help
August 26, 2010
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PHILADELPHIA — In addition to celebrating its 20th anniversary, VINtek announced it has expanded its direct-to-consumer auto loan service for Bank of America to include offering direct auto finance leads through the company's Tax, Tag and Title Calculator.
Bank of America now receives auto loan applications from consumers who have accessed the calculator via www.taxandtags.com, as well as additional VINtek partner sites.
Basically, through the new service, after a consumer calculates the tax, tag and title fees for a vehicle they want to purchase, they can estimate their monthly auto loan payment and apply for a loan via Bank of America.
"The potential customers who come to us via the VINtek site are well into the car-shopping process and estimating their monthly payments," explained J.D. Decker, senior vice president of direct auto financing at Bank of America. "By working with VINtek, we increase our visibility to potential customers at a very opportune time in their vehicle purchase process.
"Consumers who link to our site find an easy application process, quick loan decisions and a seamless online documentation process that incorporates electronic contracts and electronic signature and the ability to avoid going to the DMV," Decker continued. "With VINtek we are able to provide consumers with a convenient, professional customer experience further differentiating our loan products on the marketplace."
Meanwhile, Larry Highbloom, president of VINtek, added, "Providing Bank of America with direct auto finance leads was a natural extension of our direct-to-consumer platform. We provide Bank of America with new auto loan opportunities, help close the loan online, handle the DMV work for the consumer and perfect the lien for the bank in an integrated suite of online services.
"We are thrilled to help Bank of America cost-effectively tap into the growing demand for direct-to-consumer auto finance," he concluded.
VINtek Celebrates 20 Years in Business
VINtek is marking its 20-year anniversary in August with more than 1,200 auto finance customers, including four of the top five banks and the largest credit union in the world, two patents for its business processes, three locations and multiple preferred provider endorsements by lending associations.
VINtek was founded in 1990 by Highbloom in the basement of his home. He remains president and CEO of the company.
Highbloom, a CPA, started the company with a vision of automating indirect auto finance risk management for retail financiers as well as floor plan lenders. In 1995, Harvey Lamm, former chairman, CEO and founder of Subaru of America joined the team as chairman.
"Harvey has had significant impact on all areas of VINtek's development, bringing to the company the same innovation and focus on customer service that helped propel Subaru of America from concept to a competitive, long-standing position in the automotive industry," said Highbloom.
Since its inception, VINtek has focused on the exchange of electronic data to protect lenders from fraud while reducing operating costs. Pioneering practices and technology such as outsourced collateral management and ELT, VINtek has assisted thousands of automotive lenders with streamlining their processes, increasing operating efficiency and reducing exposure to errors and fraud. With the exception of client migrations due to mergers or acquisitions, VINtek has maintained 99 percent of its client base since it was founded.
"VINtek was promoting the use and value of electronic data transmission before the Internet was commercially viable," said Highbloom. "We have continued to push automotive finance to employ electronic, automated processes wherever possible and have seen a majority of those initiatives take hold on a large scale."
According to the company, Highbloom has been instrumental in the expansion of ELT in states across the country, assisting departments of motor vehicles with the development of ELT pilot programs, as well as consulting with lawmakers on the writing of ELT legislation. Currently, 15 states offer an ELT program, with four of those mandating the use of electronic titles by automotive lenders.
In addition, VINtek has been at the forefront in the deployment of technology and services to enhance direct-to-consumer auto lending, helping financial institutions offer a fast, secure and convenient way for their customers and members to obtain auto financing through the Internet.
The platform includes fully integrated real time calculation of tax, title and tag fees; electronic signature and electronic contracting; a Web-based lender loan servicing workflow portal; online document delivery to consumers via VINtek's www.TitleMyCar.com consumer portal; and a DMV "Concierge" service that provides remote title application and perfection services enabling consumers to skip a trip to the DMV.
"It is amazing to incubate a company with nothing more than an idea and turn around and be celebrating a 20-year anniversary given everything the automotive industry has been through," said Highbloom. "During the economic disruption, VINtek continues to grow and provide customers with services that save time and money. Our growth is a reflection of VINtek's commitment to customer satisfaction and we look forward to delivering more value to our clients as this industry evolves with traditional, as well as new, online channels."
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