Interest rates have gotten higher and the terms of loans for RV dealer inventory financing have become less favorable, so Coachmen and Winnebago have entered into agreements with two major lenders in an effort to help their dealers floorplan more of their units.
Coachmen and Transamerica Distribution Finance (TDF) have entered into a strategic alliance to offer “a competitive and aggressive finance package exclusively for qualified Coachmen Industries’ dealers.”
Meanwhile, Winnebago designated the Bank of America Specialty Group as its “preferred lender” and exclusive lender for the Winnebago Industries Financial Services (WFS) inventory finance program.
The Coachmen/TDF package includes “preferred wholesale finance rates on new Coachmen Industries products, preferred trade-in finance programs, a competitive rental finance program, expanded dealer services, special marketing programs and dedicated credit facilities.”
It is available to qualified dealers selling Coachmen RV, Georgie Boy, Shasta and Viking Recreational Vehicle products. The goal of the Coachmen/TDF program is to provide dealers with “a competitive means to affordably increase their Coachmen inventories commensurate with corresponding increases in retail sales opportunities, decreasing their cost and improving their overall cash flow.”
The Winnebago/Bank of America program offers Winnebago dealers below prime rate financing, or rates that are “typically lower that standard RV industry rates.”
The prime rate has been 9.5% since last May and it is viewed as a major reason why dealers sharply reduced their ordering from the manufacturers last summer, particularly of motorhomes, despite a relatively strong retail market.