Dearborn-based Ford Credit and Lincoln Automotive Financial Services are No. 1 in customer satisfaction among mass market and premium automotive financing providers, according to the new 2024 U.S. Consumer Financing Satisfaction study by J.D. Power in Troy.
The study’s more than 11,000 participants rated their vehicle financing providers on eight dimensions: their trust in the brand, whether it is easy to do business with, the brand’s people and digital channels, whether the loan or lease met their needs, their experiences getting and managing their financing and whether the provider keeps them informed about their loan or lease.
Ford Credit ranked No. 1 in five dimensions among mass market finance providers and Lincoln AFS ranked No. 1 in four dimensions among premium finance providers.
Survey respondents purchased or leased a new or used vehicle within the past three years. The survey was conducted in three waves beginning in November 2023 and ending in August 2024.
“Our team is focused on providing our customers with the best financing experience in the business, and we’re thrilled that customers agree,” says Cathy O’Callaghan, CEO of Ford Credit. “Whether it’s financing a new vehicle or support during tough times such as natural disasters, every day is another opportunity for our team to provide our customers with the ease, clarity and flexibility that makes financing with Ford Credit or Lincoln AFS the right choice.”
The study also shows the challenges of the current marketplace are being compounded by a deterioration in consumer financial health. Specifically, the study finds that among mass market auto loan customers, the number of those characterized as financially vulnerable has increased 11 percentage points since 2021 while the number of financially healthy customers has decreased 13 percentage points.
Within the group of financially vulnerable customers, just a single percent of them say they can cover six months of living expenses.
“Auto lenders really need to tailor their offerings for the realities of the current market and recognize that a large portion of their customers may face some very real challenges managing their finances,” says Patrick Roosenberg, senior director of automotive finance intelligence at J.D. Power. “Lenders need to ensure that their digital bill-pay tools encompass a wide range of options, such as extensions, due date changes, personalized financial planning/budgeting tools and one-on-one advice to help consumers plan for the future.”
While Ford Credit ranks highest among mass market lenders, with a score of 669, Southeast Toyota Finance (664) ranks second and Toyota Financial Services (650) ranks third.
Lincoln Automotive Financial Services’ score of 722 (on a 1,000-point scale) put it at No. 1 on the premium provider chart. Mercedes-Benz Financial Services (719) ranks second and BMW Financial Services (703) ranks third.
In addition, with average new-vehicle loan interest rates still hovering near 20-year highs and the average new-vehicle retail transaction price now at $44,467, many auto loan customers are coming away from the lending process with a dose of sticker shock, according to the survey.
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