SEATTLE, Sept. 17, 2020 /PRNewswire/ -- DigniFi, a financing platform for auto repairs and services, announced that Volkswagen of America endorses DigniFi as a preferred vendor in its eConnect Flexible Payment Program. Volkswagen's 636 U.S. dealerships can now partner with DigniFi to offer service center customers access to financial flexibility in these trying times. DigniFi enables customers to apply for short-term financing on their smartphone and receive an instant decision. On average, dealerships that offer DigniFi increase service revenue by 20 percent annually.
Today, amidst the COVID-19 pandemic, young working Americans increasingly depend on their cars for safe mobility. More driving entails more maintenance, and a recent LendingTree study found that 43% of all U.S. drivers, and 58% of Millennials, have gone into debt as a result of car trouble. 21% of these drivers accumulated this debt after the pandemic began. Nearly six out of ten Americans, including 71% of millennials, have skipped necessary repairs because they cannot afford them.
"COVID-19 has left young people in such a state of financial insecurity that many are choosing to skip repairs that are vital to the longevity and safety of their vehicle," said Richard Counihan, CEO of DigniFi. "In partnership with Volkswagen, we are changing that. We applaud Volkswagen for supporting flexible payment options that serve customers in their time of need."
DigniFi's financing platform helps drivers afford repairs by providing access to flexible payment options and 0% financing for those who qualify. Customers complete the financing application on their personal smartphone in just a few minutes, ensuring a safe, contactless process for dealership staff and customers. Approval rates on DigniFi's platform are two times higher than the average credit card, serving customers across a wide range of FICO scores. To date, more than 5,000 dealerships and auto service centers in the U.S. have used DigniFi to increase profitability and customer retention.
"Volkswagen owners should never have to choose between fixing their car and affording other basic necessities," said Julia Howard, Service Lane Technology Business Development Specialist at Volkswagen of America. "We are committed to offering the flexibility and understanding our customers need in these trying times. With the help of DigniFi, we will get our customers back on the road."
About DigniFi DigniFi is a platform company that connects consumers with lenders for car repairs, tires, accessories, and other auto-related needs. The automated, contactless process serves up financial products through the point of sale at car dealerships and independent repair shops. DigniFi provides consumers with access to fixed payment plans. The loans are originated through WebBank, Member FDIC. To date, DigniFi has provided access to over $120 million in loans in partnership with more than 5,000 auto service centers. For more information, please visit www.dignifi.com.