Triad Veterans Launch CarFinance Capital
IRVINE, Calif. — Several industry veterans behind Triad Financial recently banded together to launch a new non-prime auto finance lender, CarFinance Capital.
Based in California, the company will first launch on the West Coast, expand to Texas in June and then continue the roll out throughout the country for the rest of the year.
Jim Landy, Triad's founder and chief executive officer from 1989-2005, will serve as president and CEO of the new lender. Other former Triad executives involved with the new company include Dennis Morris, Jeff Butcher and John O'Dowd, who will serve as chief operating officer, chief financial officer and chief credit officer, respectively.
"There is a clear need for a new, more dealer friendly player in the non-prime auto financing today," said Landy. "While the non-prime auto loan industry and consumer is storming back, a significant amount of lending supply dried up in the recent recession, so dealerships are woefully underserved.
"We believe the timing is right for a strong lender to fill this gap with a superior dealer process that delivers far more consistency, flexibility and one-on-one support than some of the more rigid, mechanized players. CarFinance is that lender, and our mission is to provide premium service to auto dealers so they can meet the needs of today's non-prime customer," he continued.
The product is designed to eliminate any surprises in credit and/or cashing contracts, according to the executive team.
Benefits include:
—Credit for the mid-market non-prime spectrum: From 525 FICO through 675.
—Beyond black and white decisions: Loan decisions preserve dealer flexibility and negotiating room, offering structuring options on an average approval, ensuring dealers can put together more profitable deals.
—Speed on contract funding side: So dealerships can get reimbursed quickly.
—One-on-One support: Customer service experts are available to answer questions and provide assistance.
The CarFinance executive team tapped Perella Weinberg Partners for assistance.
Perella Weinberg Partners is an independent, client-focused financial services firm that provides corporate advisory and asset management services to clients throughout the world. The firm has grown to manage more than $1 billion in equity capital through a number of different investment vehicles.
David Schiff, a partner at Perella Weinberg Partners and portfolio manager of the asset-based value strategy, said, "We are excited to be partnering with this group of talented proven executives. Jim and his team have had tremendous success leading one of the nation's largest auto finance companies. We look forward to working with them to leverage their collective experience and to build upon their past track record to meet increasing market demand while becoming a premier player in the non-prime market."
Landy added, "CarFinance has the right leadership and the right strategy in a sector that we believe is poised for significant growth. Our experienced team looks forward to renewing relationships with thousands of dealers with whom we've had such a long, successful history."
For more information on CarFinance, visit www.carfinancecapital.com.