Dear Valued Dealer Partner,

Thank you for your continued support and for trusting OCM Auto Financing Group as part of your dealership’s network of lenders. Our unique programs and lending guidelines have excelled this past year and OCM is delighted to continue to offer these options for your financing needs.

Here at OCM, we understand the operational challenges current and past lenders face to sustain viability in the high- risk credit marketplace. OCM reaffirms that our business model is robust and sustainable for many years to come. We continue to focus on how we can make our operations more efficient, and we always encourage our dealer network to provide any feedback or concerns that will help us become the top lender of choice for your subprime financing needs.

Demand is Up

Despite market concerns and challenges faced by other subprime lenders, we’re thrilled to report a remarkable surge in our lending activities. With a nearly 50% increase compared to the same period last year, this exponential growth is a testament to the robust demand for our financing solutions. Despite this volume increase, our loss ratio has remained low, highlighting the effectiveness of our risk management, particularly in these uncertain times.

Working on Solutions

In the past couple of weeks, several auto dealers across Canada experienced CDK software system shutdowns and outages. OCM is working with the affected dealers to seamlessly provide efficient adjudication and funding timelines to help mitigate disruptions.

Lending Rate Cut

On June 5, 2024, the Bank of Canda announced the highly anticipated policy interest rate cut. This is the first time in four years the key lending rate has been cut. OCM
is currently updating its programs and rate sheets to reflect this change and we anticipate an updated program to be presented in early July.

Thank you for your continued trust and support. Stay tuned for more exciting updates in the upcoming quarters. For any inquiries about OCM Auto Fund, feel free to contact your dealer representative or visit ocmcorporation.com

Sincerely,
Andrew Abraham, Chief Executive Officer

Thank you for your continued support and for trusting OCM Auto Financing Group with your subprime lending needs. Our unique programs and lending guidelines have served our dealers well in 2023 and OCM is delighted to continue to offer and enhance these offerings in 2024.

We Take Pride

Celebrating a decade in business, OCM Auto Financing Group takes pride in the journey we've shared with our valued dealer partners. Over the past 10 years, our commitment to innovation, efficiency, and customer service has solidified our position in the industry. As we reflect on this milestone, we express gratitude for the trust and collaboration that have fueled our success.

Continued Growth

At OCM, we firmly believe that our business model is robust and sustainable for many years to come. We continue to focus on how we can make our operations more efficient and always encourage our Dealer Network to provide any feedback or concerns that will help us become the top lender of choice for your subprime financing needs. Despite market concerns, we're thrilled to report a remarkable surge in our lending activities. With a nearly 50% increase compared to the same period last year, this exponential growth is a testament to the robust demand for our financing solutions. Despite this volume increase, our loss ratio has remained low, highlighting the effectiveness of our risk management, particularly in these uncertain times. This quarter marks OCM's third-best performance quarter to date.

Expanding Our Reach

Over 900 dealers in Ontario and Quebec have partnered with OCM to help them close more deals. With our 50% approval rate, along with an industry leading look to book rates and client specific programs, we continue to focus on expanding into new territories and markets while maintaining the high quality service our Dealers expect.

Demand is Up

The automotive industry has experienced the highest growth in new car sales this past month. Manufacturer incentives, lucrative finance/lease rate options, are driving up demand going into the lucrative spring market. Lending rates seem to have stabilized and, in the coming months, experts believe that we will see favourable lending rate

Thank you for your continued trust and support. Stay tuned for more exciting updates in the upcoming quarters. For any inquiries about OCM Auto Fund, feel free to contact your dealer representative or visit ocmcorporation.com

Sincerely,
Andrew Abraham, Chief Executive Officer

OTTAWA, ON, April 20, 2023 /CNW/ - OCM Auto Financing Group Ltd. (OCM), an Ottawa-based sub-prime auto lender, is pleased to announce that it has recently increased its fund size to $100 million. This amount is a combination of funds received from accredited investors through a series of debenture offerings, as well as from a senior lender, CWB Maxium Financial Inc., which is part of the Canadian Western Bank (CWB) Financial Group of companies.

This new credit facility will significantly increase OCM's ability to expand its rapidly growing sub-prime auto financing business. "This facility with an established Canadian bank becoming our senior lender speaks to the quality and sustainability of our existing business model, and the confidence the bank has in our ability to continue to grow our business," said OCM CEO, Andrew Abraham.

Initially, OCM was financed primarily through a series of debentures purchased by accredited investors. "Since the inception of the fund, more than 95% of our original investor base is still invested with us today. We are thankful for the trust our initial investors showed in us and we look forward to them continuing to be an important part of our future growth," said Abraham.

OCM serves a large number of auto dealers in Ontario and Quebec. Demand for loans for pre-owned vehicles remains high from individuals who may not qualify for financing from traditional banks and OCM is proud to be able to provide financing to these individuals.

About the OCM Auto Financing Group Ltd.

Started in Ottawa in 2018, OCM Auto Financing Group Ltd. provides loans for pre-owned vehicles to individuals who cannot access bank financing. OCM works with auto dealers in Ontario and Quebec to assist them in completing sales transactions with their customers. A network of in-person OCM dealer representatives helps expedite approvals of loans that meet OCM's rigorous creditworthiness standards.

The sub-prime auto financing industry in Canada is governed by a set of stringent rules and regulations at both the provincial and federal level.

For further information: contact Rania Odeh at rania@ocmautofund.com or contact us at 613-755-4015.

https://ca.finance.yahoo.com/news/ocm-auto-financing-group-increases-121500588.html