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Solutions for Auto Finance Lenders

A Complete Solution to Minimize Losses for Auto Finance Lenders

We Do It All.

One relationship. One point of accountability. One complete operating solution — designed to protect collateral, address covered delinquency and improve the financial outcome of a defaulted auto loan.

Discuss a Pilot View the Complete Lender Presentation

Program descriptions are summaries only and do not constitute an offer or commitment. Payment Protection features are subject to program terms, conditions, eligibility and applicable accounting and regulatory treatment. Drive Financial does not guarantee prevention of loss, recovery, rental income or any particular financial outcome.

The Complete Operating Sequence
1Address covered delinquency
2Locate and protect the collateral
3Coordinate recovery
4Inspect and repair
5Put the vehicle to work
6Administer monthly lender payments
Eliminate Costs. Reduce Delays. Minimize Losses.
The Challenge

Same Default. Better Financial Outcome.

When a financed vehicle becomes delinquent, the conventional sequence consumes value at every step. Drive Financial coordinates a different operating path designed to preserve that value instead of spending it.

The Conventional Sequence

Default → Repossession → Auction

Each step adds cost and time while the collateral produces nothing.

  1. Borrower becomes delinquent and scheduled payments stop
  2. Locate the vehicle and assign a repossession
  3. Tow and transport the vehicle
  4. Store the vehicle while the file is worked
  5. Recondition or repair for sale
  6. Sell or auction, frequently below the outstanding balance
  7. Pursue the remaining deficiency
Costs accumulate and the lender absorbs the loss
The Drive Financial Alternative

Protect → Recover → Rent → Pay

A borrower-authorized path that keeps the asset working and the lender at the center.

  1. Covered past-due payments may be made for up to three months, subject to program terms
  2. The lender offers voluntary entry into the Drive Financial Program
  3. Recovery is coordinated to a participating facility
  4. The vehicle is inspected and repaired for rental readiness
  5. The vehicle is placed with a qualified rental operator
  6. Rental income supports agreed monthly payments to the lender
  7. Resolution through return to the borrower or satisfaction of the financing obligation
The asset generates income instead of being liquidated at a loss

Illustrative sequences shown for discussion purposes. Actual workflow, eligibility, timing and outcomes depend on portfolio characteristics, borrower authorization, program terms and applicable law.

The Drive Financial Alternative

Six coordinated steps. One accountable relationship.

Drive Financial coordinates the entire borrower-authorized sequence and remains the lender's single point of contact from beginning to end.

  1. Address Covered Delinquency

    Up to three months of covered past-due payments may be made while the borrower considers the next step, subject to program terms.

  2. Locate & Protect Collateral

    Drive KeZ technology reports vehicle location, and starter-immobilizer capability helps prevent a subsequent restart when appropriately armed.

  3. Coordinate Recovery

    Recovery and transport are coordinated through participating providers and delivered directly to a participating facility.

  4. Inspect & Repair

    The vehicle is evaluated at a participating facility, then mechanical, maintenance, safety and cosmetic work is completed as needed.

  5. Put the Vehicle to Work

    With borrower authorization, the rental-ready vehicle is placed with a qualified rental operator in a nationwide network.

  6. Administer Lender Payments

    Rental income is administered under the program to make agreed monthly payments to the lender, subject to program terms.

Outcome One — Return to the Borrower

When agreed program requirements are satisfied, the borrower may resume possession and payments. Participation is voluntary and requires borrower authorization.

Outcome Two — Satisfaction of the Financing

Alternatively, rental income may continue supporting agreed monthly payments through satisfaction of the financing obligation, subject to program terms and actual vehicle economics.

The Operating Platform

One Relationship. Multiple Specialized Capabilities.

The lender works with Drive Financial. Drive Financial coordinates the specialized capabilities required to execute the program.

Drive Financial — The Lender-Facing Platform

Drive Financial is the lender's single point of contact and point of accountability. It coordinates the relationship, workflow, operating companies, strategic partners, payment administration and program reporting. The lender manages one relationship rather than a series of vendors.

Drive Protection

Provides covered payment protection, including the payment of up to three months of covered past-due payments, subject to program terms, conditions and eligibility.

Payment Continuity

Drive KeZ

Patented GPS tracking and starter-immobilizer technology that supports vehicle location and helps make recovery faster and less expensive.

Collateral Intelligence

Drive Service Network

Coordinates towing, inspection and repair through a nationwide network of approximately 40,000 participating repair and service facilities.

Recovery & Repair

Drive Connect

Supports rental placement and income generation by assigning rental-ready vehicles to qualified operators across a nationwide rental network.

Income Generation

Drive Cloud

Technology infrastructure providing dashboards, workflow management, operational visibility and program reporting for the lender.

Visibility & Reporting

Payment Administration

Drive Financial collects and administers program funds and coordinates payment processing so agreed monthly payments reach the lender.

Flow of Funds

The specialized companies within the Global Drive Holdings ecosystem provide capabilities that Drive Financial coordinates as part of lender programs. Not every ecosystem company is owned by Drive Financial.

Enabling Technology

Drive KeZ supports the financial solution.

Technology is not the offering. It is what makes the financial solution practical: knowing where the collateral is, and making recovery faster, easier and less expensive.

Designed for fast, practical deployment

Drive KeZ devices are plug-in units designed for fast installation, so a lender program can be implemented without a complex hardware project.

  • GPS Location

    The device reports vehicle location, which supports recovery planning and reduces the time and expense of locating collateral.

  • Battery Backup

    Where applicable to the approved product configuration, an internal battery can support continued transmission after OBD-II disconnection.

  • Starter Immobilizer

    When appropriately armed and authorized, the relay is designed to help prevent the vehicle from being restarted, which can make recovery faster and less expensive.

  • Program Enablement

    Collateral visibility and protection are what allow the broader financial program — recovery, repair, rental placement and lender payments — to function predictably.

What technology contributes to the lender

  • Reduced time and cost associated with locating collateral
  • Support for faster, more predictable recovery coordination
  • Shorter idle time before a vehicle can be repaired and placed
  • Operating visibility and reporting through Drive Cloud

Drive KeZ is an enabling capability coordinated by Drive Financial as part of a lender program. It is not sold to the lender as a standalone hardware purchase within this solution.

Important safety and compliance note. Starter-immobilizer functionality is designed to help prevent a subsequent restart when appropriately armed. It is not designed or intended to disable a vehicle while the vehicle is in motion. Device functionality depends on the approved product configuration, installation, borrower authorization, applicable law and program terms.
The Economics

Why liquidate the asset when the asset can generate income?

The comparison below is illustrative and intended to frame the difference between a one-time liquidation and a recurring-income structure.

Payment continuityWhat happens to the monthly payment
Scheduled payments stop when the borrower becomes delinquent.
Up to three months of covered past-due payments may be made, subject to program terms.
Locating the collateralFinding the vehicle
Skip tracing and field assignment expense; timing is uncertain.
Drive KeZ location capability supports faster, lower-cost recovery planning.
Tow, transport and storageHolding cost while the file is worked
Towing, transport and per-day storage accumulate before disposition.
Recovery is coordinated directly to a participating facility to reduce idle time.
Reconditioning and repairPreparing the asset
Reconditioning spend is applied to maximize a discounted auction price.
Repair spend prepares the vehicle to produce recurring rental income.
Asset dispositionWhat the asset ultimately does
One-time sale, frequently below the outstanding balance.
The vehicle is placed with a qualified rental operator and remains a producing asset.
Cash flow profileHow value returns to the lender
A single discounted recovery, net of accumulated expenses.
Rental income administered under the program supports agreed monthly payments.
Residual exposureWhat remains after disposition
A deficiency balance may remain and require further collection effort.
Resolution through return to the borrower or satisfaction of the financing obligation.
Objective
Liquidate the asset and absorb the loss.
Preserve the asset's earning capability and improve the financial outcome.

Illustrative Only

The comparison above is illustrative and provided for discussion purposes only. It does not represent a projection, guarantee or commitment of any particular cost, recovery, rental income, payment continuation, accounting treatment or loss outcome.

Actual results depend on lender portfolio characteristics, account status and documentation, borrower authorization and behavior, vehicle condition and location, rental demand and utilization, program terms and conditions, and applicable accounting, regulatory and legal requirements. Drive Financial will work with a lender to define measurable criteria before a program begins.

Alignment

A structure designed so every participant has a reason to agree.

The Lender

Covered past-due payment protection, coordinated recovery and repair, reduced disposition activity, rental-income-supported payments and one accountable relationship — all subject to program terms.

The Borrower

A voluntary alternative to the conventional repossession path, with the opportunity to preserve a route back to the vehicle when agreed program requirements are satisfied.

The Rental Operator

Access to rental-ready inventory without purchasing it, generating revenue and remitting required payments to Drive Financial under the program.

“Drive Financial does not hand off the problem. We remain in the center until the problem is solved.”
The Operating Principle
Strategic Differentiation

Not a vendor. A complete operating solution.

Drive Financial is defined as much by what it is not as by what it does.

Not a repossession company

Drive Financial coordinates recovery through participating providers. It does not perform repossessions.

Not a collection agency

Drive Financial manages an operating solution intended to improve financial outcomes. It does not collect consumer debts.

Not a technology platform

Technology is a supporting capability within the program, not the offering itself.

Not a consulting firm

Drive Financial operates the program and remains accountable for coordination and reporting.

The Complete Lender Presentation

Review the full solution in detail.

The complete lender presentation covers the operating model, enabling capabilities, flow of funds, market context and pilot structure.

PDF · 24 Pages Cover of the Drive Financial lender presentation titled A Complete Solution to Minimize Losses for Auto Finance Lenders. View the Complete Lender Presentation

A Complete Solution to Minimize Losses for Auto Finance Lenders

The approved lender presentation, published exactly as provided. It opens in the browser and can also be downloaded for internal distribution and executive review.

The Problem & The Solution Operating Model Drive KeZ & Service Network Economics & Flow of Funds Market Context Pilot Structure
View the Complete Lender Presentation Download PDF

Presentation content is provided for informational and discussion purposes only and does not constitute an offer, commitment or guarantee of any particular outcome. Program features are subject to terms, conditions, eligibility and applicable accounting and regulatory treatment.

Pilot Program

Let's Prove It With a Pilot.

Rather than asking a lender to adopt a new operating model across an entire portfolio, Drive Financial begins with a limited, defined population. The lender selects a small number of eligible accounts and vehicles, Drive Financial implements the complete program, and both parties measure the results against criteria agreed in advance.

A pilot allows a credit, servicing or finance executive to evaluate operational performance and economics with real accounts before any broader deployment is considered.

Discuss a Pilot Explore Portfolio Solutions

What a pilot measures

  • Covered past-due payments applied under the program
  • Recovery and repair time and cost per vehicle
  • Time from recovery to rental readiness
  • Rental utilization and income generated
  • Monthly payments administered to the lender
  • Operational reporting quality and program visibility

Pilot scope, eligibility criteria, measurement period and reporting are defined jointly and documented before implementation. Participation is subject to program terms, conditions and applicable treatment.

The Executive Relationship

A conversation about portfolio performance, not vendor services.

Drive Financial engages at the executive level and reports at the platform level.

Executive-Level Engagement

Built for chief executives, chief financial officers, chief credit officers and servicing leadership responsible for portfolio performance.

Platform Performance Reporting

Transparent, measurable program visibility through Drive Cloud rather than fragmented individual vendor activity reports.

Continuous Improvement

Operating visibility supports refinement of eligibility, workflow and program design over the life of the relationship.

Lender FAQ

Questions institutional lenders ask first.

Most relationships begin with a pilot. The lender identifies a limited population of eligible accounts and vehicles, both parties agree on eligibility criteria and the metrics to be measured, and Drive Financial implements the complete program for that population. Documentation, operating requirements and reporting are defined before implementation.
Yes. The program is borrower-authorized. The lender offers the alternative, and the borrower voluntarily elects to participate and authorizes recovery, management and rental placement of the vehicle under the program.
Payment Protection is designed to address covered past-due payments for up to three months while the vehicle is recovered, inspected, repaired and prepared for rental placement. Coverage, eligibility, limits and duration are governed by program terms and conditions, and applicable accounting and regulatory treatment applies. It is not a guarantee of payment or of any particular outcome.
The rental operator collects rental revenue and remits required amounts to Drive Financial. Drive Financial collects and administers program funds and coordinates payment processing so that agreed monthly payments are made to the lender, subject to program terms and actual rental performance.
No. The starter-immobilizer relay is designed to help prevent a subsequent restart when appropriately armed and authorized. It is not designed or intended to disable a vehicle while the vehicle is in motion. Functionality depends on the approved product configuration, installation, borrower authorization, applicable law and program terms.
Loss mitigation is the primary solution, but it is not the only path. Drive Financial or an affiliated or special-purpose investment entity may selectively evaluate defined pools of defaulted or distressed auto loans for acquisition or other structured resolution. Any such transaction is subject to diligence, documentation, pricing and approval. See Portfolio Solutions.
The solution is designed for institutional auto finance lenders, including banks, credit unions, captive finance companies and independent or non-prime finance companies. Program design, eligibility and reporting are adapted to the institution's servicing environment and requirements.

Same Default. Better Financial Outcome.

Let's define a limited pilot, measure the results together, and decide what makes sense from there.

Discuss a Pilot View the Complete Lender Presentation