FinTech companies see two main opportunities in the auto financing space. First, the financing experience is too arduous, with many brands requiring the wouldbe buyer to complete paperwork and submit copies of tax returns and pay stubs to the dealership itself. Yet consumers want a fully digital experience, one that allows them to secure financing first, and then select the car they want. The other is subscription services, which Tesla and BMW are pioneering. These brands have implemented services that allow for the activation of new features within a vehicle on a subscription basis. This paves the way for incar purchasing, which savvy auto financing companies can leverage to build long-term relationships with people. In-Vehicle Shopping Will Soon Be a Reality Right now the only way to make any purchase of goods and services from within a vehicle is via a mobile phone, but Apple CarPlay and Android Auto will change that. CarPlay allows users to connect their iPhone with their vehicle’s display or dashboard screen so that it looks and works just like the app screen of the phone itself. There are some safety features built into CarPlay. For instance, it won’t allow drivers to send or receive text messages from the screen. All in all, it is setting the stage for a vehicle’s display screen to become so much more than just a control panel for the car’s entertainment system. Imagine this scenario: a consumer applies for a loan from Honda Financial to purchase a car. At the same time, they apply for a line of Finance Monthly. F i nanc i a l Innov a t i on & F i nTech 57
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