Automotive Dealership I N S T I T U T E



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Automotive Dealership I N S T I T U T E F&I HYBRID PROGRAM FINANCE AND INSURANCE - PRIME LAWS, RULES AND REGULATIONS F&I MENU SELLING PROCESS/OBJECTION HANDLING FINANCE AND INSURANCE - NON-PRIME

AUTOMOTIVE FINANCE MANAGEMENT HYBRID ADI s Hybrid program was designed to combine online and in-class training to give our students an alternative option to our four-week in-class program. The program consists of three online sections and one week of in-class instruction at our campus in Scottsdale, Arizona. Here are some highlights: Three (3) self-paced online modules Only one (1) week of in-class training Graduate with a diploma Job placement assistance Mock interviews Professional resume preparation Affordable tuition Tuition financing available* Section 1 - Finance and Insurance Prime (Online Module) The F&I Department and The F&I Manager, Interest and Finance Charge Calculations, Credit and Prime Lending, Credit Bureaus, Prime Lending and Loan Process, Dealing with Lenders, Structuring and Placing the Loan, Qualifying/Deal Structuring. Section 2 - Laws, Rules and Regulations (Online Module) Truth-in-Lending Act, Regulation Z and M, Equal Credit Opportunity Act, Fair Credit Reporting Act, Magnusson-Moss Warranty Act, Used Car Rule, IRS Cash Reporting Rules, USA Patriot Act, Gramm-Leach- Bliley Act, Payment Packing and Disclosures. Section 3 - F&I Menu Selling Process/Objection Handling (Online Module) Introduction to Finance Products, F&I Menu Selling Process, F&I Menu Presentation Steps, Overcoming Customer Objections General Objections, Cost Objections and Product Objections, Credit Union Conversions. Section 4 - Finance and Insurance - Non-Prime (One week in-class instruction) Overview of Non-Prime Finance Lenders. Credit Bureaus, Budgeting and Deal Structuring for Non-Prime Lenders. Practicing With Real Deals. Special Finance Department Organization. Setting Up Procedures. Structur ing Special Finance Deals, Introduction to Internet Finance. * SLM Financial student loan tuition and living expense financing available to those who qualify

ONLINE PORTION SECTION I - FINANCE AND INSURANCE PRIME CHAPTER 1 THE F&I DEPARTMENT AND THE F&I MANAGER The F&I Department and The F&I Manager The F&I Department: A Dealership Profit Center Basic Finance Definitions F&I Department and F&I Manager F&I Manager and Sales Department The Business Office Finance and Dealership Terms CHAPTER 2 INTEREST AND FINANCE CHARGE CALCULATIONS Definitions APR and Add-On Types of Finance Charges on Contracts Simple Interest / Precomputed Interest (Rule of 78 s) Calculating Finance Reserve Dealer Rate Participation/Rate Caps CHAPTER 3 CREDIT AND PRIME LENDING Purchaser s Statement/Credit Application Overview Of Credit Bureaus Experian Credit Profile Report Equifax Credit Profile Report Trans Union Credit Profile Report Prime Lending and Loan Process Dealing with Lenders Credit Unions Four C s of Credit Structuring and Placing the Loan Lender Guidelines and Qualifying SECTION II - LEGAL COMPLIANCE LAWS, RULES AND REGULATIONS Regulation Z Truth in Lending Act Retail Installment Sales Contract Regulation M Truth in Lending Act Consumer Lease Agreement Regulation B Equal Credit Opportunity Act Fair Credit Reporting Act Holder In Due Course Magnusson-Moss Warranty Act Used Car Rule IRS Cash Reporting Rules USA Patriot Act OFAC-The Office of Foreign Assets Control Gramm-Leach-Bliley Act The Privacy Rule The Safeguards rule Payment Packing/Disclosing Procedures ADI s Online Program includes interactive elements and filmed examples of real-life situations that dealership managers face daily. In addition, all chapter tests and final homework assignment are completed and submitted electronically with results returned immediately. Students can earn college credit units, transferable to Northwood University. ADI is licensed by the State of Arizona Board for Private Postsecondary Education and approved by the Department of Education. This designation allows it to offer federal government-backed student loans.

SECTION III - F&I MENU SELLING PROCESS/ OBJECTION HANDLING CHAPTER 1 INTRODUCTION TO FINANCE PRODUCTS/ GENERAL PRODUCT KNOWLEDGE Extended Service Contract Vehicle Maintenance Care Credit Insurance Guaranteed Auto Protection GPS Security and Tracking System Vehicle Tracking / Recovery System - Lojack Security Code Marking System Interior and Exterior Protection CHAPTER 2 F&I MENU SELLING PROCESS Custody of the Customer Customer Interview Process Meet & Greet Review and Confirm the Figures Review Purchaser s Statement and Credit Report F&I Menu Presentation CSI / Profit Legal Compliance Time Efficiency The 300% Rule Contract Disclosures F&I Menu Presentation Example STEP I: Customer Interview Process STEP II: Legal and Registration Paperwork STEP III: Product Presentation STEP IV: Contract Disclosure Download Chapter 2 PDF CHAPTER 3 OVERCOMING CUSTOMER OBJECTIONS Objection Handling I m Not Interested in Hearing About any Products I Can t Afford Additional Protection Putting the Cost in Perspective ESC vs. Manufacturer s Warranty ESC Value vs. Insurance Coverage ESC vs. My Personal Mechanic 99.9% Close ESC: A No-Lose Option ESC: Cost vs. Coverage I Already Have Life Insurance I Am Not Interested In Disability Insurance GAP vs. Vehicle Replacement Costs GPS Security Systems vs. Alarms Anti-Theft System vs. Vehicle Replacement Costs Appearance Package vs. Vehicle Trade-In Value Credit Union Conversions COURSE OUTLINE EXPAND F&I MENU SELLING PROCESS FINANCE MENU PRESENTATION CURRENT STATUS SECTION 3 CHAPTER 2

IN-CLASS PORTION SECTION IV - FINANCE AND INSURANCE - NON-PRIME DAY 1 FINANCE AND INSURANCE -- NON-PRIME Introduction and Benefits of Non-Prime Finance Non-Prime Finance Terminology Overview of Non-Prime Finance Lenders Non-Prime Deal Structure Guidelines Advance / Amount Financed / Budget / Credit / Customer Profile DAY 2 FINANCE AND INSURANCE -- NON-PRIME How to Read and Interpret Lenders Guidelines Structuring Non-Prime Real Deals Loan Process and Funding Income Calculations DAY 3 FINANCE AND INSURANCE -- NON-PRIME Credit Bureaus How to read and analyze Experian How to read and analyze Equifax How to read and analyze Trans Union Budgeting for Non-Prime Lenders Calculating Income for Budgeting Purposes DAY 5 DEAL STRUCTURING Structuring Special Finance Deals Practicing With Real Deals ProMax Online Special Finance Software DAY 4 FINANCE AND INSURANCE-- NON-PRIME Special Finance Department Organization How to Set Up a Successful Special Finance Department Setting Up Procedures The week in-class section focuses on the non-prime market segment and includes an introduction to non-prime finance terminology, deal structure guidelines, income calculations for budgeting purposes and procedures for setting up a successful special finance department. Students wanting greater interaction throughout the course can opt for the additional optional week in-class instruction in Scottsdale, consisting of finance menu presentation, objection handling, practice and final videotaping of presentation, included in the tuition.

Our experience and track record speaks for itself F&I HYBRID PROGRAM Finance and Insurance - Prime Laws, Rules and Regulations F&I Menu Selling Process/Objection Handling Finance and Insurance - Non-Prime Automotive Dealership Institute 6613 N. Scottsdale Road, Suite 100 Scottsdale, AZ 85250 Toll-Free 877.998.7200 Local 480.998.7200 Fax 480.998.7220 www.autodealerinstitute.com Automotive Dealership I N S T I T U T E