April 2025
Thank you for reading the April 2025 issue of AFG’s Driving Insights, an email newsletter designed to keep you informed about the latest trends in vehicle financing, provide educational resources on residual based financing, and share updates on Auto Financial Group’s programs.
With economic turbulence continuing to ripple across the industry due to tariffs and high rates, affordability has never been more top-of-mind for both lenders and borrowers.
In this issue:
🚘 We’re diving into the latest trends shaping the auto finance industry, specifically how extending terms is helping borrowers in the short term but setting them up for financial trouble down the road.
💵 We’re sharing a real story from a dealer using AFG’s program to help their borrowers afford a better vehicle while keeping their payment close to their previous one in spite of rising rates.
💻 You can also review the recordings to two recent webinars we held: “Increasing ROI with Residual Based Financing” and “Understanding Residual Based Financing.”
Keep reading for all the details!
Auto Finance Trends
Americans are missing their car payments at a staggering rate
“With tariff pressures bearing down and subprime delinquencies exceeding 5.5% for over 2 years—it appears the auto lending market is settling into a new, “ugly” normal.”
🚘 AFG’s programs, affordable, lower payment vehicle financing options, are now more relevant than ever for borrowers who are struggling with the high cost of living and rising monthly expenses.
AFG Partner Experience
By using AFG’s online dealer inventory download tool, Jason Allen, an AFG dealer partner, helped his customers upgrade to a more valuable vehicle with no money down and a manageable monthly payment increase.
Events
💻 AFG hosted a webinar, “Increase ROI with Residual Based Financing” last month. You can still watch the recording.
💻 AFG hosted a webinar, “Understanding Residual Based Financing: From Basics to Benefits“, yesterday. You can still watch the recording.
📋 AFG will host its annual User Conference in Austin, TX, May 6-8. Click here to register.
🏢 CU*South Visionary Conference
May 19-21, Orlando, FL
🏢 Lending Tech Live
June 16-18
Nashville, TN
AFG will be in attendance at these two events. If you’d like to learn more about our programs, you can make an appointment with an AFG representative. Click here to schedule it.
Spotlight on Affordability
Affordability is a critical concern for many borrowers in a highly fluctuating vehicle market. AFG will highlight a vehicle each month that showcases how the AFG walk-away balloon and vehicle leasing programs offer a more affordable payment compared to conventional financing.
