Six Ways to Boost Auto Loans at Your Credit Union

 by Amy Neale

As you might have read in last week’s blog, credit union loan growth is on the rise. In fact, over the past nine consecutive quarters, new auto loans have grown 10.7% and used auto loans are up 9.3%. Whether or not your credit union has experienced similar growth, there are still ways to boost auto loans:

1. Work with an indirect lending company like Credit Union Direct Lending.
2. Cultivate connections with auto research sites such as AutoSMART.
3. Target market to the 35-65 age demographic, especially those with incomes that range from $40K to $75K. The recent Credit Union Satisfaction Index (CUSI) from CFI Group showed this demographic was greatly interested in seeking auto loans from their credit union.
4. Offer incentives to members when they acquire new or used auto financing. Incentives like discounted or free auto club memberships can go a long way.
5. Join a membership enhancements program like Invest in America’s Credit Union Member Discount from GM which offers instant auto loan leads when your members get a GM discount authorization code.
6.  Make sure your frontline and lending staff are well trained and kept up to date on your latest auto loan promotions and rates and that your team has the skills to accomplish the loan volume your credit union needs. CUNA Mutual Group’s Lender Development program can help with this. 

Whichever way your credit union chooses to boost auto loan volume, the key is to be as proactive as possible. We’d love to hear other ways you have grown auto loans your credit union. Leave us a comment and let us know!