By Desiree Homer
Look for the Helpers & Be the Helpers
Many changes continue to unfold in this uncertain landscape. GM Financial is looking to offer relief to dealers in the form of floorplan payment delays. Other automakers and lenders are looking for ways to lend support and softening terms with dealerships nationwide. And, we’re reminded of the kind words of Mr. Rogers, who used to tell his child audience to look for the helpers during scary and tumultuous times. GM Financial is helping, and dealers can be prepared for ongoing assistance announcements from various partners. Dealers everywhere may begin seeing extensions of support and relief for their customers as well. These efforts present a silver lining opportunity to connect with your local car buyers and past customers.
GM Financial Delays Floorplan Payments
To help mitigate the effects of the shelter-in-place recommendations to the public, GM Financial is temporarily waiving deadlines for floorplan payments. The principal amounts that dealers owe in paying down the inventory are delayed now for up to 90 days. Not all dealers may need that long to make their payments, but they can certainly take advantage of the three-month reprieve. Kyle Burch, President of GM Financial’s North American operations, says it’s important that dealers know this deferment is available to them, should they need the extra time.
Guaranteed Dividend Payments
GM Financial is also promising dealerships’ dealer dividend payments, typically based on a variety of factors, will be similar to those payments of past months. Officials recognize today’s conditions are unprecedented and should be treated much like a natural disaster. Although, unlike an act of nature, we don’t know when to predict a return to normalcy. GM Financial says it’s all the more reason to focus on taking care of the GM Dealers to help them weather this storm.
GM is Extending Programs to Consumers, Too
GM said earlier this week that it would make zero percent financing available for 84 months to customers. Those customers with outstanding credit may be able to take advantage of 120-day payment deferrals as well. Everyone, including new and existing car buyers, will receive free OnStar crisis services along with three gigabytes of free Wi-Fi. Any customers who need more information can contact GM Financial through their mobile app, text ‘INFO’ to 53721, or call (800) 284-2271. This presents an excellent opportunity for GM dealers to reach out to their local markets to share this information.
For those of you who operate or manage GM dealerships, you may already be privy to the floorplan assistance being offered now through GM Financial. For other brand dealers, your automakers and finance partners may be following suit with similar grace periods or assistance, if they haven’t already. Take advantage of any payment reprieves made available to you now and be diligent about sharing any consumer-facing incentives available to your customers within your markets. Always be looking for the helpers in your networks, and then be willing to transition to be helpers yourselves.