ThunderRoad Financial piloted an ATV and side-by-side vehicle financing program “in specific locales throughout the country” last month, Donal Hummer Jr., president and chief executive of ThunderRoad Financial, told Powersports Finance.
While financing ATVs and side-by-sides can be tricky for some lenders, ThunderRoad sees strong growth potential in that sector, Hummer said. “When you go to resell paper, if you don’t understand the ATV and side-by-side product lines, they [lenders] are hesitant, but it performs fabulous from a lender standpoint,” he said.
“Performance wise, ATVs and side-by-sides do extremely well with regard to depreciation and losses,” he said. “They are equally as good as, if not better, than some street bikes. I’d like to expand into that market greater.”
The Reno, Nev.-based lender projects to offer the program to all of its dealer partners later this year, he added.
ThunderRoad Financial makes loans for more than 300 dealers in 30 states, and adds an average of 1 to 2 dealers to its network daily, according to Hummer. Approximately 20% of its overall portfolio are subprime or near prime consumers.