As competition in the powersports industry amps up, many lenders are introducing financing incentives to boost financing volume, according to industry experts.
“I think this is an attractive industry,” said Keith Mait, Synchrony Financial’s vice president and industry leader of powersports. The industry’s appeal and its dynamics can be a good thing and a bad thing for lenders, he told Powersports Finance, because more lenders entering the market equals more competition — and that means “we’ve got to fight harder.” The variety of payment options and financing promotions Synchrony offers provides that “competitive advantage,” he added.
Here are three financing promotions that are heating up the powersports market this summer:
- Suzuki Motor of America Inc. is offering 0% financing for five years on select models, via its third-party lender Sheffield Financial, and 0.50% APR for seven years through Synchrony Financial, according to the manufacturer’s website. The offer is valid through participating authorized Suzuki dealers until Aug. 31.
- Artic Cat Inc., through its third-party lenders Sheffield Financial and FreedomRoad Financial, launched 0% financing, plus up to a $3,000 rebate on select 2013 to 2016 model-year vehicles, according to the company’s website. The powersports manufacturer is also offering 3.9% financing, and up to a $3,000 rebate on select 2017 models. The offers are valid at participating Artic Cat dealers through Aug. 31.
- Startup subprime lender Ride Today Acceptance will launch a financing promotion now through Aug. 30 for active or retired military, police, and firefighters, said Jason Sheeley, the lender’s national sales manager. The incentive will reduce the customer’s down payment by up to $500 on any new or used unit, provided the down payment is at least 10% of the loan amount. “Some customers were just a little bit short on their required down payment to finance the bike that they wanted, and we’re hoping this can help them get on a bike this summer,” Sheeley added.