Norcross, GA - Saab Cars USA Inc., the U.S. importer and distributor of Saab 9-3 and 9-5 automobiles, has announced another new product to help dealers satisfy customers—but this time it's not a car or even accessories. Saab has created Saab Financiai Services Corp. (SFSC), a wholly owned subsidiary of Saab Holdings Corp., to provide a single source of dealer financing—including leasing and retail financing. Beginning in June, SFSC will become the primary provider of lease and retail financing for Saab's 205 dealers in the United States. Saab has been piloting the new program at dealers across the country and leased its first vehicle through Saab of Charlotte on April 21, 1999.
"SFSC provides Saab dealers with a number of benefits," says Kenneth Adams, CEO of SFSC and vice president and CFO of Saab Cars USA, Inc. "Our dealers will have one competitive source for both retail installment contract and lease financing. We'll improve the credit approval process—which improves customer satisfaction—and we'll have much more control over our vehicles when they come off lease."
Many of the major benefits of SFSC will be realized as lease vehicles are ready to be turned in. "With SFSC, we will have more opportunities to communicate with and retain our lease customers," says Heather Stewart, director of marketing and operations of SFSC. "In addition, we will be able to provide our dealers with the first opportunity to purchase off-lease vehicles—an advantage they currently don't have." Additionally, SFSC provides Saab with an enhanced ability to protect its vehicles' residual values as they come off lease.
Saab Financial Services Corp. offers a number of lease options including a standard closed-end lease, a low-mileage lease and a single payment lease. In addition, retail financing is available for both new and used Saabs.
SFSC has selected Nuvell Financial Services Corp. to be their servicing agent. Nuvell's responsibilities include making credit decisions (based on guidelines provided by SFSC), purchasing approved contracts and billing customers. They will provide additional services to Saab's dealers and customers.
The executive offices of Saab Financial Services Corp. will be in Saab Cars USA's headquarters in Norcross, Georgia. Servicing headquarters will be in Little Rock, Ark., and its three regional offices will be in Westboro, Mass., Little Rock, Ark., and Anaheim, Calif.