This document provides information on engaging local car dealerships in credit repair services. It notes that advertising is the largest expense for dealerships after human resources. It recommends choosing dealerships with a large advertising presence and many monthly sales. The document explains how to approach dealership stakeholders and emphasize how credit repair services can decrease consumer acquisition costs. It also stresses the importance of being present at the dealership to close deals handed off from salespeople. Finally, it outlines billing processes and legal requirements around credit repair services.

2. Joel Pate Joshua Carmona

3. Interesting Factoids
According to the NADA
• Advertising is the largest expense at any dealership
other than HR
• The Average Pack is $450.00 per unit sold
• The Average PIC is $1000.00 (Used Cars)
• The Average Salesman Closes 10-12 sales per month
• The Average Net Commission is $300.00 per unit
• Finance & Insurance departments are well schooled on
how to upsell backend products and services
• 7 out of 10 UP’s at any dealership need credit repair

4. How Do Engage My Local Dealership?
• Choose Wisely
– New Or Used
– Is There a Large Advertising Presence
– How many sales per month
• Only Speak to the Decision Makers
(Stakeholders)
– Dealer Principal
– General Manager

5. How Do Engage My Local Dealership?
• Explain how you can decrease Consumer
Acquisition Costs
– “If you sell 5-10 more units per 6-12 months from
now, yet the spend the same amount on advertising;
would that interest you?”
– Offer F&I Sales and Compliance Training
– Offer Process workflow integration
• You need to be at the Dealership
– You will Close 50-70% of all consumers handed off
– You will Close less 20% If you are not the Dealership

6. What does the Sales Process look like?

7. Billing
Process

8. Email /
Voice
Continuity

9. Dealer Ship F&I and Sales
person credit repair and
compliance training

10. The law
• Fair Credit Reporting Act (1974)
– Gives the Consumer the right to Dispute all Erroneous, or misleading
information
– The Creditor need to verify and respond to the Credit Reporting Agencies
• Fair and Accurate Credit Transactions Act
(Amendment 312)
– Lets the Consumer dispute directly to the Creditor since as of July 2010
– Creditors must perform dispute investigation according to the FCRA the
same way the CRA’s perform there investigations
• The Credit Repair Organizations Act (1996)
– 42 Sates require licensing

11. Some Interesting facts
• According to the US PIRG 0ver 72% of Credit Reports Contain Errors
– 0ver 25% of these errors could have or caused a denial of credit
• The Credit Reporting Agencies Make money on the dispute process
as well as the credit reporting process (“ they get paid to house the
data incorrectly, then get paid to fix it”)
• A consumer has no way of knowing the credit score that the banks
see’s, FICO, without causing damage to their credit score
• The consumer see’s a “PLUS or Vantage Score on their credit
monitoring service, they never see the FICO scores
• In 2009 a study called Automated Injustice performed by the FTC
and the US PIRG exposed flaws in the US Credit System. The Study
mentioned 3 different suicide cases due to the flawed Credit and
Dispute System.
• Taking money before completing the promised services is Illegal

12. Don’t-Promise or Guarantee
• Don’t Guarantee to Delete or Repair
• Don’t Promise a Time frame to repair or delete
– No one but the Credit Reporting Agencies control
this
• A completion date
– No one can control the outcome-so don’t promise a
date
• Do not advise the customer not to pay his or her
financial obligations

13. Good Do’s
• That we will do our best
• We will educate you
• We will inform you of your progress
• If you do nothing , nothing will happen with your
credit
• This is something the consumer can do on his own
but can hire a professional to do it for them
• Not everyone qualifies, the client must be able to
meet their financial obligations

14. Putting some pep in the Hand off
 Mr. Carmona you could “Qualify” for a vehicle with us
but as you know you need to address some issues on
your credit report first.
 Now even though I understand the credit system, I’m am
not a credit expert. And it just so happens that we have
a “Credit Expert” here today that will help you
understand the problems that are keeping you from
driving your car home today. I’m sure you want to be
able to purchase on credit in the future , Right?
 Let me introduce our credit expert Mr. xxxxxx tttttttt
 TO (Turn Over to F&I or Credit Repair Specialist)

15. Your motivation
• Your own Portal to monitor Customer progress
• No Cost to you or the dealership you do not absorb the cost
• Your Personal User Name and Password to have client access
• Knowing when to call Be - Backs and close another deal
• 7 out of 10 customers are denied credit
• Adds value to the name brand
• Builds medium to long term customer loyalty
• Creates customers for life
• Decreases cost over time by diluting the marketing/advertising
cost

16. Ready to Get PAID!
Every Closed Sales
Created Today, Pays
Your F&I!
One- $20.00
Two- $40.00
Three- $60.00
Four- $80.00
Five- $100.00

17. Joel Pate Joshua Carmona
All Questions are Important