IRVINE, Calif. (12/16/15)--Subprime borrowers will soon have the ability to obtain auto loans online or using a smartphone thanks to a new direct-to-consumer auto lending platform, set to launch in early 2016 (American Banker Dec. 14).
Called SpringboardAuto.com, the Irvine, Calif.-based platform will originate and service loans for institutional investors. Consumers can refinance existing auto loans or finance purchases of new or used cars with the site.
The platform also will provide financing for both private-party transactions and purchases made at dealerships.
“The market for auto loans has changed dramatically over the past few years, yet auto lenders have not kept up with today’s consumer demands,” said Jim Landy, the firm’s president/CEO (American Banker).
The platform’s digital processes will create greater efficiency for auto dealers, the firm said.
SpringboardAuto will join a growing field of online lenders, including subprime specialist Prestige Financial Services, which recently unveiled an online direct-to-consumer platform. Lending Club also recently hinted that it may soon begin financing private-party car sales.