AFS Dealer Floor Plan

Overview

Featured Client

Comerica

"This upgrade (Level III, Release 8.3) reinforces Comerica's leadership position in technology, innovation, and continuous improvement. "We believe there is value in staying current with releases to provide superior loan servicing for our customers, to keep on top of ongoing enhancements, and to serve as a foundation for planning additional technology investments in the future."

Paul Obermeyer, Senior Vice
President of Comerica's Operations Services Group

More Related Links

View our Integrated Lending demo


Read AFSVision brochure


View our Integrated
Lending Brochure


Read Support Services brochure


Read the Tower Group report "Straight-Through Processing in Commercial Lending: AFS Delivers the Whole Nine Yards"

The system improves service to the dealer and its customers through the automation of document preparation, facilitation of payment processing, and streamlined communications capabilities. Revenue opportunities are maximized by providing flexible pricing facilities, including LIBOR-based rates, and the system's ability to support extensive fee options.

For banks financing auto dealers, AFS Dealer Floor Plan helps manage the risks associated with dealer lending and auto finance by monitoring dealer inventory, automating credit approval, and validating vehicle valuation.

As a modular component of the AFS integrated lending delivery, AFS Dealer Floor Plan loans are included as a line of business or grouping of specialized assets within the management information reporting of the broader enterprise lending portfolio. They are not reported as a stand-alone group of loans. Consolidated reporting means there is no need to reconcile numbers from disparate systems and offers the advantages of consistency, managerial control, and accountability through superior information.

Benefits

AFS Dealer Floor Plan provides measurable financial benefits to the financial institution, its customers, the auto dealers, and their customers:

		Risk Reduction:
		—   Provides more accurate inventory control and valuation through real-time inventory updates and validation of vehicle values —   Automates credit bureau interface to minimize credit risk —   Provides comprehensive collateral control by tracking individual unit details, including accrued interest, fees, and curtailments —   Improves portfolio management through information accessibility

		Cost Containment:
		—   Reduces staff time in inventory management, data entry, vehicle value validation, document preparation, payment processing, dealer funds paydowns, and communications between the dealer and the bank

		Revenue Generation:
		—   Provides highly flexible pricing capabilities, including LIBOR pricing —   Supports extensive fee options —   Enables higher customer retention through faster and improved customer service —   Supports multiple product lines —   Improved reporting enables monitoring of loan performance to adjust credit and pricing policy

Features

Among its many other features, AFS Dealer Floor Plan offers:

		Comprehensive inventory tracking and VIN decoding and validation
		Ability to interface with:
		—   Credit bureaus (Experian) —   NADA, VINtek, and Polk —   Document preparation systems —   G/L —   DDA/ACH —   The AFS Integrated Reporting Workstations —   Any other necessary component of the dealer floor plan process
		Unlimited product line capabilities, including those for traditional floor plan inventory (autos, trucks, boats) and other inventory such as musical instruments
		Download capabilities to handheld PCs for remote field audits
		Dual-level system security, protecting both the front-end origination portion through role definition and the loan accounting portion through a transaction-based array of 999 available security levels
		Dealer funds paydowns, which enable dealers to invest funds to paydown flooring balances in bulk without paying off individual floor plan units
		Manufacturer shipment limits and controls
		Gross pay-down dealer options for excess funds
		User-defined curtailment defaulting
		Direct communication with the dealer using the Internet or auto-fax
		Used vehicle valuation and extensive fee options
		Flexible pricing capability including London Inter Bank Offered Rate (LIBOR)
		Tracking and control of mega-dealer relationships
		Accurate unit values
		Automatic model year carryovers with curtailment changes