July 26, 2005
Auto loans declined by Royal Bank to be considered by non-prime finance company
Toronto, Ontario – VFC Inc., a Canadian non-prime consumer finance provider, has entered into an agreement with the Royal Bank of Canada (RBC) to review auto loans rejected by RBC. Under the terms of the agreement, automotive loan applications originated through web portals and declined by RBC will be automatically forwarded to VFC for consideration.
RBC receives the majority of these applications from portals that service the Canadian auto finance market. Those that are forwarded to VFC will be reviewed immediately, with a funding decision provided to the originating dealer within minutes.
Analysts define a “non-prime” consumer as someone who does not meet the lending standards of most banks and credit unions. The program will be tested in August, with a full launch scheduled for late summer or early fall.