PHOENIX — DriveTime Automotive Group, which helps people with less than perfect credit get a vehicle, revealed to SubPrime Auto Finance News this week the launch of an indirect lending division doing business as GO Financial.

In the subprime, buy-here, pay-here business, many auto analysts will point out that a finance company can be particularly beneficial in keeping approvals flowing.

"GO Financial is a perfect complement to DriveTime's business model," explained Colin Bachinsky, GO Financial president.

"We've leveraged our 20 years of experience selling cars and financing customers directly through DriveTime's 90 locations to design the GO Financial program. Having our roots as a dealer gives us a unique advantage over other indirect lenders; we see the market through the dealer's eyes so we understand the customer/dealer relationship better than anyone else," he continued.

The GO Financial model can provide participating dealers the ability to control their approvals through the Web-based GO Portal. This system can provide real-time decisioning and allows the dealer to interactively control their deal structure from start to finish, according to management.

"GO has sold and funded over 750,000 subprime auto loans. 750,000. And successfully completed over $5 billion in securitizations through the use of our Pooled Auto Loan Program (PALP)," the lender boasts on its site.

Loans funded through GO are pooled to create a unique portfolio for each dealer, which equates to more profits on subprime deals as the loans perform, officials highlighted.

GO has four national call centers staffed with 500 account reps servicing a $1.5 billion portfolio.

"GO allows participating dealers to recognize the benefits that buy-here, pay-here dealers have known about for years, without having to tie up their own cash or hire all the extra people necessary to service a portfolio of loans," said Lance Spotleson, GO Financial's managing director of sales. 

"GO performs the servicing and the dealer earns a portion of the revenue from the portfolio that is typically earned exclusively by the finance company," he added.

On its site, the lender proclaims, "True, subprime is about risk. But more importantly, it's also about reward. The uncertainty of the economy may have changed the landscape of subprime lending forever. But for us at GO, and those who work with us, that's a good thing. We stay ahead of the trends and find prudent ways to allow your subprime customer to purchase when other lenders are pulling back. That's more business. And that spells more profit."

GO Financial is licensed in 26 states with plans on completing the licensing process in the remaining states shortly. GO is now accepting applications from dealers without the sign up fees. 

For more information, visit www.gofinancial.com or call 888-GO-Financial.