Last week The Wall Street Journal published a story on a scam it called “kicking the trade,” which some American Financial Services Association members are aware of as a “walkaway loan” or “stove piping.” Our colleagues at the National Auto Dealers Association, as well as some of our members, have engaged with Journal reporters on background, on the record, and in prepared statements for what appears to a series of articles on the topic of vehicle sales and finance. Each of the stories has presented almost purely anecdotal evidence, and the reporters rarely if ever provide readers with our industries’ full statements or context on the matters.
Both AFSA and NADA are discussing next steps to address this ongoing Journal series. It’s also important to clear the air on these so-called walkaway loans.
There is no credible data that this practice is systemic or prevalent in the marketplace. In the places where it does occur, however, it is deceptive, predatory, and abusive to consumers. NADA put it succinctly in their statement, which AFSA echoes: “Engaging in misrepresentations is reprehensible and should not occur at auto dealerships or any other type of business. It is also expressly prohibited by federal and state law.”
So-called “Walkaway Loans” are Wrong, Not Prevalent
Feb 20, 2020
Last week The Wall Street Journal published a story on a scam it called “kicking the trade,” which some American Financial Services Association members are aware of as a “walkaway loan” or “stove piping.”… Read the rest
LISTEN | Ginger Herring on the Extra Credit Podcast
Feb 20, 2020
In this episode of the AFSA Extra Credit Podcast, we’re speaking Ginger Herring, President & CEO of 1st Franklin Financial Corp. Ginger is a third generation leader of 1st Franklin, which has been offering consumer credit … Read the rest
RELEASE | MoneySKILL®, Personal Finance Course Demonstrates Effectiveness
Feb 19, 2020
Radio Media Tour Highlights AFSA Education Foundation’s Value
WASHINGTON (February 19, 2020) – – The American Financial Services Association Education Foundation (AFSAEF) marks its 30th anniversary this year; to… Read the rest
TOMORROW | The Borrower’s Digital Lending Journey
Feb 19, 2020
Join us on February 20 at 2:00 p.m. ET for The Borrower’s Digital Journey, presented by REPAY.
Studies of customer feedback tell us that more and more customers prefer self-service options and value flexibility and convenience when… Read the rest
Remembering Irwin Holzman
Feb 18, 2020
It is with profound sadness that I share the news of the passing yesterday of Irwin Holzman, Chairman of Reliable Credit Association, Inc., and for more than half a century a member of the American Financial Services Association. Irwin served… Read the rest
Luntz Awes the Crowd at AFSA’s Vehicle Finance Conference in Las Vegas
Feb 13, 2020
The keynote speaker at AFSA’s Vehicle Finance Conference & Expo, Frank Luntz, was no where to be found at the start of his speech. Suddenly a familiar voice that has been on cable news air waves for over two decades, made his presence
AFSA Conference Kicks Off with Focus on Diversity & Empowering Consumers
Feb 12, 2020
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| Marilyn Sherman, Author & Motivational Speaker at the Women's Leadership Council meeting |
The American Financial Services Association kicks off its annual Vehicle Finance Conference with a focus on what makes our industry… Read the rest
“Let’s not hinder consumers’ access to credit,” says Himpler in Op-Ed in The Hill
Feb 10, 2020
America has a significant underbanked and unbanked issue. Instead of supporting policies that protect consumers from predatory lenders like payday and vehicle title lenders, we have so-called consumer groups supporting policies with… Read the rest
AFSA Outlines 2020 Federal Priorities
Feb 06, 2020
The American Financial Services Association (AFSA) today released its 2020 Federal Priorities. America has a full history of evolving national consumer financial protection laws aimed at ensuring consumers are fairly and responsibly… Read the rest
Dangers of National Rate Cap Highlighted During House Financial Services Committee Hearing
Feb 06, 2020
Yesterday, February 5th, AFSA staff attended the House Financial Services Committee’s first of two hearings entitled, “Rent-A-Bank Schemes and New Debt Traps: Assessing Efforts to Evade State Consumer Protections and Interest… Read the rest