Home Loan Investment Bank’s [HLIB] powersports dealer network is closing in on 120 dealers, after adding 50 dealers at the end of May, said Mike Dikdan, the bank’s vice president of auto lending.
Warwick, R.I.-based HLIB partnered with Octane Lending — an indirect lending platform provider that pairs dealers with lenders — in December 2015, and has since onboarded dealers in phases. The most recent batch of 25 dealers were added in April.
Home Loan’s top priority for this year is achieving more loan deals per month, Mike Dikdan said, “and I think that’s a pretty good three- to four-month project we have to key in on because we have a ton of dealers, but they are not giving us the business we should be getting.”
The bank completed 55 loan deals in March, and is projected to meet or exceed 100 deals in April through the Octane platform, however, “it hasn’t peaked up to the numbers we expected,” Dikdan told Powersports Finance. Instead, HLIB has averaged 60 to 80 loan deals per month because the bank’s dealer partners “are just getting used to us, and just starting to use us,” he added.
To help boost its monthly loan deals, HLIB is looking to increase its communication and marketing efforts, starting with initiating contact with dealers after Octane sends in the dealer agreement, added Christine Dikdan, assistant vice president of auto lending. This will enable Home Loan Investment Bank to see if the dealer has any questions about the program or if the dealer is unsure of any of the bank’s services.
“When they are unsure, they are not confident,” she said. “One thing we try to stress is that we are available for phone calls if there is something they don’t understand, such as any questions about our contract package.”
Additionally, the bank is working on increasing its brand awareness, Mike Dikdan added. “We send out email blasts to let them [the dealers] know that we are around, and that we offer dealer incentives,” he said. For example, if a dealer gives the bank 15 loan deals in a month, they may be eligible for a $1,500 bonus.