#USA #New York #Vehicle Financing #Ridero #AFG

Ridero and AFG Forge a Strategic Partnership

In a significant move for the automotive financing sector, Ridero, a technology platform specializing in vehicle leasing and residual-based financing, has announced a partnership with Auto Financial Group (AFG). This collaboration aims to broaden access to residual-based vehicle financing for both new and used cars, thus creating new opportunities within the market.

Empowering Lenders with Innovative Solutions

The partnership is designed to enable AFG’s existing lender programs to easily integrate with Ridero's innovative technology. By doing so, the two organizations aim not only to streamline current financing processes but also to increase the number of financing deals available to dealers and lenders. According to Brock Thompson, Co-Founder and CEO of Ridero, this joint effort is about facilitating more business for dealers and enhancing the originations for AFG's lending partners.

"The first phase of our partnership focuses on helping our dealers close more deals," Thompson said. His vision is to embed AFG's programs directly into dealership workflows, thereby expediting the financing process and expanding its reach to include additional opportunities in the marketplace.

Lowering Barriers to Entry for New Lenders

The alliance between Ridero and AFG is also expected to simplify the leasing process for financial institutions looking to enter this segment. Many lenders refrain from providing leasing options due to the complexities and costs associated with creating specialized technology and residual infrastructure. In response to this challenge, the partnership offers a more straightforward route for lenders to implement or expand their leasing programs without burdening them with substantial upfront technology investments.

"A lender shouldn’t have to invest years into developing specialized technology to provide leasing options," Thompson pointed out. This new collaboration aims to change that by leveraging Ridero's existing tech capabilities in conjunction with AFG’s expertise in managing residual values and guarantees. This combination is all set to revolutionize the way lending institutions approach vehicle leasing.

Transforming Residual-Based Financing

Residual-based financing has numerous advantages, including lower payments for borrowers and enhanced volume capture for lenders, making the billing process faster in dealerships. However, it is still largely dominated by a limited range of players within the industry. Richard Epley, CEO of AFG, emphasizes that this partnership is aligned with AFG’s mission to broaden access to residual-based financing and minimize the operational barriers that have historically sidelined many potential lenders.

With Ridero and AFG working together, they aim not only to enhance the distribution of existing residual-based programs but also to entice new lenders to enter the competitive financing arena. This partnership reflects a concerted effort to reshape the landscape of vehicle financing and make it more accessible to all stakeholders.

About Ridero

Ridero is at the forefront of financial technology as a company dedicated to building infrastructure conducive to vehicle leasing and residual-based financing. The platform utilizes artificial intelligence to connect dealers directly with financial institutions, seamlessly integrating residual-based products within existing automotive retail processes.

About AFG

Founded in Houston, AFG offers innovative financial solutions including its notable AFG Balloon Lending, an online vehicle financing product characterized by residual value and flexible terms. Their approach allows financial institutions to manage vehicle leasing effectively, ensuring greater financial returns while providing options for clients at the end of the loan term.

For those interested in learning more about AFG’s offerings, potential clients can reach out via their website or give them a call for inquiries and further information.

With this strategic partnership, Ridero and AFG are set to disrupt the vehicle financing market by leveraging technology, expertise, and innovative strategies to fuel growth for dealerships and lenders in this changing landscape.