Fixed Ops Journal - August 2020 - F16

FIXED OPS JOURNAL

DigniFi offers loans for
repair work, with no
interest for 60 days. That
has been temporarily
extended to 90 days.

LOAN REASSURANCE

Expanded auto repair financing options gain traction amid COVID-19 uncertainty
ALEX KWANTEN

R

foj@autonews .com

ecent research by Cox Automotive's Xtime found that 63 percent of customers are unable to pay for a $500 auto repair out
of pocket, and that 29 percent of primary service recommendations and 71 percent of additional work go unsold because
of customers' lack of funds.
There have long been means for these customers to borrow to cover a

Now more than ever,
keep vehicles
clean and protected.

repair: credit cards, family resources or the last resort - payday or auto
title loans with punishing interest rates.
More recently, products specifically devoted to repair lending have
emerged. In 2015, financial services company Sunbit began working with
dealers to offer quick-approval loans for repairs. In 2018, DigniFi, then
known as Confident Financial Solutions, launched a similar product.

Loans limit interest
DigniFi's loans range from $350 to $7,500, although the typical
amount financed is $1,200 to $1,700. The loans are payable over 12 to 36
months, depending on credit and customer preference, without prepayment penalties. No interest is
charged for the first 60 days, a policy temporarily extended to 90 days
because of COVID-19.
In November, DigniFi expanded
its offerings with DigniFi ExpressWay, a revolving line of credit that
can be used in multiple areas
(sales, parts, collision, etc.) with up
to six months of deferred interest.
And in July, Xtime announced that
it integrated with DigniFi to launch
FlexPay, an easy-to-use payment
option offered directly through the
Xtime platform.
To use DigniFi, shops pay a
monthly subscription fee of $199 to Canales: Better financing terms
$1,850 or 4.5 percent of the funds for customers, higher amounts
loaned.
on repair orders for dealerships.
Sunbit's loans range from $60 to
$6,000, with the typical amount financed at $800 to $1,000. The loans are
interest-free for 30 days and are paid over three, six or 12 months. Sunbit
takes a 3 percent cut of the loans paid to the shop.

Both sides win

MADE IN THE USA

slipngrip.com | 855-999-4764 | info@slipngrip.com

The product serves both sides of the transaction, says John Canales,
vice president of business development at DigniFi. Customers can finance their repairs on friendlier terms than a credit card or other type of
see LOANS, Page 18

PAGE 16

AUGUST 2020


http://www.slipngrip.com

Fixed Ops Journal - August 2020

Table of Contents for the Digital Edition of Fixed Ops Journal - August 2020

Contents
Fixed Ops Journal - August 2020 - FIntro
Fixed Ops Journal - August 2020 - F1
Fixed Ops Journal - August 2020 - F2
Fixed Ops Journal - August 2020 - Contents
Fixed Ops Journal - August 2020 - F4
Fixed Ops Journal - August 2020 - F5
Fixed Ops Journal - August 2020 - F6
Fixed Ops Journal - August 2020 - F7
Fixed Ops Journal - August 2020 - F8
Fixed Ops Journal - August 2020 - F9
Fixed Ops Journal - August 2020 - F10
Fixed Ops Journal - August 2020 - F11
Fixed Ops Journal - August 2020 - F12
Fixed Ops Journal - August 2020 - F13
Fixed Ops Journal - August 2020 - F14
Fixed Ops Journal - August 2020 - F15
Fixed Ops Journal - August 2020 - F16
Fixed Ops Journal - August 2020 - F17
Fixed Ops Journal - August 2020 - F18
Fixed Ops Journal - August 2020 - F19
Fixed Ops Journal - August 2020 - F20
Fixed Ops Journal - August 2020 - F21
Fixed Ops Journal - August 2020 - F22
Fixed Ops Journal - August 2020 - F23
Fixed Ops Journal - August 2020 - F24
Fixed Ops Journal - August 2020 - F25
Fixed Ops Journal - August 2020 - F26
Fixed Ops Journal - August 2020 - F27
Fixed Ops Journal - August 2020 - F28
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