CU Xpress Lease and CUNA Mutual Group announce partnership
Meeting the demand for leased autos, protect more credit union members in major markets
HAUPPAUGE, NY (March 21, 2016) — Building upon their successful partnership in select markets, CU Xpress Lease, a subsidiary of GrooveCar, and CUNA Mutual Group will expand their collaboration into major auto leasing markets in Florida, California, New Jersey, New York, and Massachusetts to help credit unions, auto dealers, and members secure and safeguard more automobile leases.
Through the partnership, CU Xpress Lease provides credit unions with a turnkey auto leasing program that can be issued to members directly through the credit union’s dealership partners. CUNA Mutual Group serves as the underwriter for CU Xpress Lease’s Guaranteed Asset Protection (GAP) product, which covers the difference between the member’s primary insurance settlement and the outstanding loan balance in the event of an accident or theft.
“GrooveCar is proud CUNA Mutual Group has selected us to promote our CU Xpress Lease product. We look forward to delivering the nation’s premier automotive lease product to CUNA Mutual Group’s credit union partners throughout the country. In select, mature lease markets, leasing accounts for up to 70% of new vehicle loans. Providing this opportunity, along with CUNA Mutual Group’s support, will offer credit unions new avenues of growth and expansion,” explains Frank Rinaudo, senior vice president, GrooveCar.
Auto leasing has surged in popularity, up 40 percent since 2010, and accounts for more than a quarter of all new car purchases nationwide. In select regions of the U.S., that number is steadily on the rise. Data shows car-buying millennials are more likely to lease a car than their Generation X and Baby Boomer counterparts. Leasing accounted for nearly 29 percent of millennials’ car purchases in 2015. “Credit union members benefit from flexible lease terms and mileage allowances and a ‘no surprises’ wear-and-tear policy. Leasing is sustainable product for credit unions and members of all ages, especially millennials,” explains Robert O’Hara, vice president of strategic alliances, GrooveCar.
“Credit unions want programs that are easy to administer, help secure more loans and protect more members. Our partnership with GrooveCar and CU Xpress Lease is another example of how CUNA Mutual Group is developing products and services to meet credit union and member needs,” said Chuck Cashman, vice president, business development and strategic partnerships, CUNA Mutual Group, adding, “We’re looking forward to informing credit unions about this valuable new program.”
As an added value for credit union members, GrooveCar provides user-friendly auto purchasing resources, including vehicle pricing, unbiased car reviews, video presentations, vehicle history reports, pricing comparison tools, financing information, payment calculators, expert advice, and other valuable resources and information.
GrooveCar, a Fusion AF company, has been providing full-service automotive loan growth solutions to credit unions since 1999. GrooveCar focuses on building strong, lasting relationships with credit union partners by ensuring they can capture loan volume without compromising the quality and integrity of their portfolio. GrooveCar’s knowledge of the credit union industry, combined with an expansive dealer network surpassing 4 million vehicles, enhances the ability of credit union partners to secure loans and leases while offering the guidance and knowledge that their members seek.Additional information on GrooveCar can be found at http://www.groovecarinc.com.
About CU Xpress Lease
A lease program specifically designed for the credit union to reap the benefits of leasing while maintaining control of the credit quality and process. CU Xpress Lease and its affiliated companies bring decades of experience in auto remarketing and lease servicing to meet the needs of credit unions and their members. With offices in Hauppauge, New York and Bedford, Texas an experienced infrastructure is ready to provide credit unions with an innovative product without the risk.
About CUNA Mutual Group
CUNA Mutual Group helps people plan, protect and invest for their future – regardless of their financial standing. The company was founded more than 80 years ago by credit union leaders who were looking for an insurance and investment partner they could trust. Today, CUNA Mutual Group helps credit unions and hardworking Americans build financial security through commercial and personal insurance products; lending and payment security solutions; and risk management, retirement, investment and marketing services. Additional information about the company can be found at http://www.cunamutual.com.
CUNA Mutual Group is the marketing name for CUNA Mutual Holding Company, a mutual insurance holding company, its subsidiaries and affiliates. Life, accident, health and annuity insurance products are issued by CMFG Life Insurance Company. Property and casualty insurance products are issued by CUMIS Insurance Society, Inc. Each insurer is solely responsible for the financial obligations under the policies and contracts it issues. Corporate headquarters are located in Madison, Wis.