How Heritage Federal Credit Union increased GAP production by 44%
Meeting the changing financial needs of its membership is a mission that Heritage Federal Credit Union prioritizes. In a competitive auto lending market with industry-wide low interest rates and a strong field of competition, Heritage Federal Credit Union found a way to meet their members’ needs and help their auto loan program stand out from the competition—upgrading from standard Guaranteed Asset Protection (GAP) to SWBC’s exclusive GAP with PowerBuy™.
GAP with PowerBuy can pay up to the remaining balance of a borrower’s auto loan after an insurance payout and provides additional funds to finance their replacement vehicle with their financial institution. “Since all members’ vehicles depreciate over time, the benefit to the member is actually increasing over time. The PowerBuy benefit helps us protect more members—including the borrowers who put money down when they purchase their vehicle,” said John Phipps, Chief Lending Officer for Heritage Federal Credit Union, when asked what he would contribute his credit union’s increased sales conversion rates to.
The credit union achieved some incredible results by making the move from standard GAP to GAP with PowerBuy including:
- Increased vehicle protection product sales by nearly 50% in the first six months of implementation
- Increased vehicle protection product penetration by 15%
- Increased GAP production by more than 44%
There’s a lot more to this success story. Click here to download the full case study.
