Opportunities to Close

According to Statistics Canada, consumer bankruptcies and proposals increased by 22% in Ontario for the 12-month period from June 2023 to June 2024. In Quebec as well, this statistic increased by 21%. Economists are projecting this to increase significantly more in the coming months. Having a network of lenders available for your subprime financing options has never been greater. Access to lenders with a variety of financing programs to fit all types of credit files gives dealers a greater chance of closing sale opportunities..

Increasing Profits

Subprime or credit challenged applicants are an excellent referral generator. These applications will generate low cost, economical leads to help you increase your closing ratios and profits. OCM pays a $600 reserve on every file regardless of credit tier approval or amount financed.

Continued Growth

OCM is thrilled to announce our fourth record-breaking month in a row for loan originations in 2024. We continue to offer unique programs and finance options that help us surpass projections and experience accelerated growth.

Interest Rate Cuts

As expected, the Bank of Canada announced a quarter percent reduction to the prime interest rate on September 4, 2024. We are closely monitoring the next rate announcement on October 23rd. OCM is continuously reviewing its programs, policies and procedures and will post an updated program on Dealertrack as soon as it becomes available.

Protecting Our Clients

The recent CrowdStrike outage has underscored the vulnerabilities of critical systems in the auto industry, including credit portals. OCM was able to help our dealer partners navigate these challenges and reduce downtime while ensuring sensitive client data remained protected. 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.

Breaking Records

OCM is thrilled to announce our third record breaking month in a row for loan originations in 2024. Industry data suggests that vehicle purchase intentions are up slightly while monthly payments for used vehicles are slightly lower but remain higher than pre-pandemic levels.

Subprime Financing

Subprime vehicle financing is an excellent option to have available to auto dealers which enables them to move more inventory including aging units. The recently released CADA Data Report suggests that 26.24% of inventory was over 91 days compared to 2021 levels which was at 14.20%.

Dealertrack Updates

On July 19, 2024, the Bank of Canda announced another highly anticipated interest rate cut. This is the second rate cut in 2024. OCM is currently reviewing its programs and rate sheets to reflect this change and we anticipate an updated program to be uploaded on Dealertrack soon.

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.

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