Braeger Financial Group To Launch Revolutionary Auto Finance Community Lending Website
13 Nov, 2013, 01:52 ET
GLENDALE, Wis., Nov. 13, 2013 /PRNewswire/ -- David Braeger, C.E.O. of Braeger Financial Group and their subsidiary Braeger Auto Finance Group, is proud to announce the creation of the first investor lending site in the auto finance space called VroomBank.com, which is in Beta testing and will go live upon the completion of Title II of The Jobs Act and approval of all regulatory agencies .
According to Braeger, VroomBank.com will accept qualified investors funds which are placed into 3,4 and 5 year notes at interest rates of 7,8 and 9% and then invested with auto finance companies. "We are creating a crowd funding investor site in tandem with a registered brokerage firm that is fully compliant with all regulations that will protect all qualified investors monies giving investors full confidence regarding the management of their funds."
According to Joseph Barisonzi, C.E.O. of Community Leader, the web portal company that Braeger Financial Group has teamed up with, "With the creation of VroomBank.com, Braeger Financial Group has created a truly disruptive business model for the independent auto finance company space. Braeger Financial Group is uniquely positioned to lead this innovation, offer investors very attractive fixed returns and emerge as huge player in the auto finance industry."
Bill Kellagher, President of Nationwide Specialty Finance Company states that, "VroomBank's ability to provide scalable tranche financing to auto non-prime finance companies is a game changer. Most hedge funds want to fund $50 million or more per tranche. VroomBank.com can fund $500,000 to $5 million or more per transaction. This opens the door to diversify among thousands of qualified investors and a massive consumer loan pool from quality lenders looking for structured growth capital. Traditional bank lenders do not have the desire to open the lucrative auto finance space to individual investors, so this makes VroomBank.com an instant player in this finance space and offers investors the opportunity to receive fantastic returns once open only to hedge funds and venture capital investors."
Braeger ends by saying, "Unlike other websites that offer investors the ability to lend money and receive a rate of return which most often is not fixed, our business model is simply easier. The largest community lending sites actually recommend that on a $5000 dollar investment you put $25 dollars into over 200 loans to get the necessary diversity to protect your principal. It is not worth the headache. With our model, we have our hands around thousands of consumer loans by working directly with the finance companies so all you have to do is decide what return and what term you want to invest in. The auto finance industry is a multi-billion dollar industry per year. If we get 1 percent of that, our investors and finance companies have hit a home run. Furthermore, it is my opinion that with our strong diligence process and safety clauses that we put into our loan contracts with finance companies, it is far less likely that a multi-million dollar auto finance company will fail versus individual consumer borrowers."
About Braeger Financial Group:
Braeger Financial Group is a Milwaukee-based, privately owned, automobile financing source. We help independent car dealers who offer their own retail sales contracts and leases to continue to service and collect on those loan notes until maturity. Our business model allows dealers across the country to continue to build their loan portfolios, which enables them to develop long-term relationships with their retail customers and continue building equity in their business, as opposed to having institutions profit from the purchase of their notes. This model also allows our qualified investors to achieve attractive fixed rates of return. For more information visit www.braegerfinancial.com or call 414-847-6280.
The contents of this press release constitute neither an offer to sell nor a solicitation of an offer to buy any security; offers can be made only by the prospectus. This material must be read in conjunction with the prospectus in order to fully understand all of the implications and risks of the offering to which it relates. A copy of the prospectus must be made available to you in conjunction with the offering described herein. Neither the SEC nor any other state regulators have passed on or endorsed the merits of this offering. Any representation to the contrary is unlawful. Braeger Financial Group LLC is not affiliated with the Braeger automotive sales organizations of Wisconsin.
SOURCE Braeger Financial Group
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