Black Horse, the motor finance provider, has revealed a year-on-year lending increase of 20 per cent to total some £10.9 billion last year.
New lending was up by 19 per cent and totalled some £5.1 billion, which it said was boosted by its partnerships with major car brands such as Jaguar Land Rover. In terms of new customer numbers, these increased by 339,000 across its entire business, offering finance for motor, leisure and bike finance.
Black Horse is part of Lloyds Banking Group and is the UK’s top independent car finance provider.
The firm attributes some of its recent growth to the launch of a Mobile Finance Calculator in 2016, which can be used by dealers to help customers form a clearer picture of the finance deals available to them for various vehicles early in the process of buying a new car.
The firm is also extending its digital services by launching a new website, which is compatible for use with smartphones and tablets. It claims to enhance the experience of obtaining finance for both the customer and the dealers.
A statement from Black Horse’s managing director, Richard Jones, read: "We saw our strongest ever financial performance in 2016, driven by new business growth and meeting increased demand for new and used cars, bikes and motorhomes.
“We strengthened our already successful manufacturer partnerships and continue to work closely with our dealer community. We help support our dealers’ businesses at the same time as helping customers access their vehicle of choice. We are consistently looking for further ways to improve the customer experience and to respond to the opportunities that digital technology provides. 2017 will see more developments in this space.”
In response to growing demand among dealers for personal contract purchase (PCP) deals, Black Horse has also launched a new PCP product specifically for those buying caravans and motor homes.
Adjusting your dealership’s offering of cars or increasing the number of cars on your forecourt in response to the growing car finance market and its impact on sales in general is a popular response to stories like this one from Black Horse. It’s important that you notify your traders combined insurance provider with the changes, to include your new stock in your policy.