Car dealers embrace new finance standards

Almost 400 car dealerships have been recognised by the Finance & Leasing Association (FLA) – the industry body for the motor finance industry – as having improved standards and knowledge on car finance. Customers looking for clear and reliable advice on their car finance options should seek out the ‘Specialist Automotive Finance’ (SAF) logo in showrooms. SAF Approved dealerships range from the UK’s largest retail groups down to one-site businesses. 

SAF was introduced by the motor finance industry in 2007 to raise standards on motor finance and improve consumer confidence in the information and advice given in showrooms. Around 7,000 industry staff from almost 900 dealerships have registered for the FLA’s online SAF competence test, with many more in the pipeline. The test focuses on improving knowledge and professionalism on car finance products and surrounding regulation.

A dealership can apply for SAF Approved once all customer-facing staff involved in the sale or provision of information on finance have passed the SAF test and agreed to adhere to FLA best practice on treating finance customers fairly.

Lookers plc, a nationwide car retail group, is the largest group so far to be awarded SAF Approved status by the FLA.

Paul Bentley, Lookers Group Finance & Insurance Director, said: “We recognised very early that the FLA’s initiative could bring real long-term benefits to the motor industry and its customers. We felt it was important that the major dealer groups show their support of this and our objective was to ensure our sales staff were operating at the highest possible standards within this very competitive marketplace. 

“Becoming SAF Approved has been a major boost to our sales staff and has helped them to recognise how valuable it is to understand all the different finance products we sell and the legal requirements involved, to ensure that Lookers’ offers accurate advice to customers when discussing their finance needs.”

Paul Harrison, Head of Motor Finance at the FLA, said: “SAF is good news for the industry and good news for consumers. I’m delighted that Lookers – one of the market leaders – has recognised the benefits of SAF and voluntarily improved standards. This is a great start, and we need to build even more momentum on SAF in the coming months. I’d encourage car buyers to seek out the SAF kite-mark in showrooms and ask their local dealership if they have taken the SAF car finance test.”