Here’s the script for “The Finance Manager” video above:
Once the Sales Manager has gained a satisfactory commitment, it will be time for you to meet the Finance Manager – Commonly referred to as the Business Manager, or even more colloquially, “F&I”
F&I in the industry refers to Finance And Insurance. They work out of closed offices in the back of the sales floor affectionately referred to as “The Box” in the industry, because of the high degree of confidential documents they keep in their offices. You’ll typically find that they are best-dressed employees at the dealership. Once all papers are signed with this person, you’ve bought a car!
This role carries a heavy burden of responsibility for the dealership and requires a variety of skill-sets as they perform several functions. A Finance Manager is human, though, and do occasionally make mistakes, and when they do, it’s usually a pretty big deal for them to fix it ASAP.
They are responsible for making sure that all your paperwork is in order, so they’re required to have a high attention to detail. They file all your government-mandated forms, such as odometer disclosures, registration, titling, and will serve as your power of attorney to file them on your behalf.
If you are allowing the dealer to broker your financing, they will communicate with your lender to complete that paperwork verifying that all underwriting requirements are met. Lenders will visit the Finance Manager to encourage them to do business together. It is through the relationships they build with lenders over hundreds of transactions, that they can get rates and terms you will be very unlikely to find on your own.
They will confirm and review everything to which you agreed with the Sales Manager regarding the vehicle purchase, including price, payments, terms, and any other conditions.
Business managers will also review the terms of your vehicle’s warranty and everything it both covers and doesn’t cover, in so doing, They will also present other products that will help to either enhance your ownership and/or protect the vehicle. Don’t worry, though, We will review your interactions with them in greater detail later.
This is typically one of the higher paid positions in any dealership. They will earn a commission from a lender for setting up the financing, commission from any back-end products that they sell you in addition to the vehicle, and generally a piece of the overall profit.
They are your final stop, and it is with the F&I Manager that you will need to be the most careful. It doesn’t matter what anyone else at the dealership *SAYS* to you about the deal, what matters is what you *SIGN* in the office.
Be on your guard here because this position is usually an extremely effective salesperson, and I have seen sales managers let deals that were losing money upfront go to F&I knowing that manager would be able to “put together” a winning transaction.
Exercise your due diligence and use caution in the box. Like I said, though, we’ll get into exactly what to expect in a later lesson.