PROGRAM GUIDELINES
2016
Triple Pay Credit Criteria
Western Funding Inc. (WFI) provides dealers the opportunity to build a portfolio of accounts, and own the majority of the
profits of each deal, without selling the portfolio to Western Funding. WFI’s Triple Pay program gives dealers three (3)
opportunities to receive payment on the same contract. Dealerships maximize their profits by earning up to 81% of the
interest and principal collected as the customer makes payments.
Program Requirements
Max Miles:
No Cap
Max PTI:
Min Pmt:
26%
$200
Max Term:
Min Term:
72 Months
12 Months
Max APR:
Min APR:
Up to state usury
17.99%
Down Payment:
Greater of $1000 or 10% of sales price
Max LTV:
GPS:
200%
Required unless book value under $3,000
Vehicle Age:
15 Years
Max Repos:
2
Pool Size
50
Per deal Transaction Fee:
$99
Monthly Program Fee:
$399
Dealer’s Share of Net Collections :
81%
Stipulation Requirements
•
Proof of Income
•
6 References
•
Proof of Insurance
•
Proof of Residence
•
State Driver License or International Driver License
•
GPS device
•
Completed/Signed Credit Application
Policies and stipulations can change without warning. We reserve the right to negate any deal for any reason; please use common sense when submitting a deal.
Thank you!
Income Types
When using DEALERCENTER® the option of entering the customer’s income type is provided. Below are the various
income options and their descriptions. If your customer’s income type is not listed below, please contact your local
Western Funding Representative.
Income Types
Computerized Paystub w/YTD: Normal paycheck stub with
breakdown of taxes and full YTD breakdown of income (i.e.,
Paychecks, etc.).
Printed Paystub- No YTD: Paycheck stub from company with tax
deductions, or a computer generated stub with no YTD breakdown.
Self Employed-Business: Self-employed customers with a business
statement IN THEIR BUSINESS NAME, or proof that the business is in
their name. All deposits are not counted as income, a reasonable
profit margin will be allowed for the type of business. Ending
balances must average out to at least the payment amount on the
deal. Suitable proof of income would be 3 recent bank statements.
Self Employed-Personal Stmt: Self-employed customer with
personal bank statements. Three recent/complete bank statements
with transaction detail and address must be submitted. All deposits
are not counted as income, a reasonable profit margin will be
allowed for the type of business. Ending balances must average out
to at least the payment amount on the deal.
Handwritten Paystub: All handwritten stubs with tax deductions.
Personal/Business handwritten checks will not be accepted without
copies of canceled checks (front and back).
SSI: Social security in customer’s name. Different from home care,
this is a federal insurance program that provides benefits to retired
persons, the unemployed, and the disabled. Appropriate proof of
income would be a letter from Social Security Services, Bank
Statements disclosing US Treasury Deposit, or a check stub from the
US Treasury. The customer’s name should be the only one listed on
the award letter. See “Dependent Income” if additional names are
listed on the letter.
Child Support/Foster Care: Any income received for purposes of
child support or foster care. Bank statements or other proof showing
that the customer is actually RECEIVING the funds must be provided.
We will not accept a notice from the court showing the customer
has simply been awarded the child support. Must have proof that
the funds are actually being RECEIVED.
Perm Disability/Ins: Income coming solely from an insurance
company for dependent income.
Military Income: Must be on active duty and provide an LES
statement. Military Pension must be scored as SSI.
Passive Income: Income derived from sources other than
employment or above classified income types.
Job Letter: Company should be listed, and proof of business must be
provided along with a phone number to contact the employer. Must
be typed or written on a company letterhead. This will not be
accepted for customers working within a family owned business.
Additional documents may be required depending on the customer’s
profession.
Student Income (Financial Aid): Student grant money may be
counted. (Job time is 0).Proper proof of income would be a letter
from their Financial Aid Office or the State they reside in disclosing
how much they receive each quarter/semester. Student loans may
not be counted as Student income, grants only.
Home Care: Different from SSI, this is money received by the
customer as a result of them caring for an individual in their home.
In order to count, a copy of paystub must be included with deal and
we must be able to contact the government agency who pays the
customer. This income will state the benefactors name on the
benefit letter.
Trust/Annuity Income: Any monies from a trust or annuity, which
will be received longer than the term of the loan.
Dependent Income: All state or government assistance and any
other monies coming solely from the existence of a dependent, such
as SSI for an underage child or for an individual at that person’s
residence. Appropriate proof of income would be an SSI letter or
bank statements. The bank statement should disclose deposits from
the US Treasury.
Short-Term Disability: Workman’s compensation.
Western
Funding Policies
Bankruptcy- Discharged or dismissed bankruptcies are okay.
Booksheet- KELLEY/NADA: We will add or deduct for mileage. Do not add for the following: Premium sound, Premium
Wheels, Phone, Vinyl tops, Custom Bumper, 2 tone paint, Oversize tires, Tow package, Winch, Snow Plow, Custom
Hydraulics, Commercial Truck adds, and any item not in working order. Commercial vehicles are not allowed (i.e. taxis, limos,
police interceptors, etc…).
Contract Limitations- Contracts must be simple interest only. Contracts sent to Western Funding 21+ days past contract
date can result in $300 fee. Re-contracting is required if the contract is received after 30+ days or within 5 days of payment
due date.
Co-signers- Select appropriate relationship. Parent relationship MUST be scored as “parent.” If choosing “co-habitant,”
proof of such must be provided. Any one of the following items are accepted as proof:
• 1 piece of hard POR that has the names of BOTH signers
• Common Tradelines on the credit report
• Minimum 1 year of common reporting addresses on the credit report
If the appropriate proof cannot be provided, the relationship must be scored as “other.”
Delinquent Mortgages- If less than 60 days delinquent, proof of account being current will need to be provided.
Dealer Employees in Sales, Finance, Management, and Dealer Principals- The deal structure must have full recourse.
Down/Deferred Payments- All deferred down payments must be paid in full prior to funding. Proof of down payment may
be requested.
Gross Monthly Income- Enter the appropriate income amount. If anything other than a Year to Date (YTD) check stub or Job
Letter is used, three months of proof of income is needed. Check gross year-to-date figure on the check stub and
calculate. The formula Western Funding uses is YTD income / # full weeks employed YTD = average weekly income.
Average weekly income x 4.3 = average monthly income. Example: if customer’s YTD per paystub is $8500 dated April
10: $8500/14 = $607 x 4.3 = $2610 average monthly income.
Hard Proof of Residence (POR)- Defined as:
1) A pre-existing utility bill to customer’s name and home address (gas, electric, water, cable, and satellite TV)
2) Residential Contractual Lease – need to include landlords name and number and be verified by WFI.
4) Driver’s license if issued within the last 60 days of contract.
5) Government issued ID card if issued within the last 60 days of contract.
Statement cannot be past due. In addition, a past due amount on a bill used as POR cannot be greater than the new car
payment.
Incoming Deals- Sending complete deals is essential for verification of the deal. Western Funding has the right to return
any deal at any time; dealer will be notified regarding the reason for turn-down.
Ineligible Customers- Customers with a previous Western Funding, Westlake Financial, Wilshire Consumer Credit or ALPS
repossession are ineligible. Customers in Consumer Credit Counseling can be financed with proof of completion of credit
counseling course. Note: The Triple Pay programs allow a customer to have three or more open derogatory items or
Consumer Credit Counseling with a letter from their counselor.
Insurance- The customer must provide proof of comp and collision with $500 deductibles with a minimum policy of
six months.
Mileage- All vehicles, with the exception of TMU, are booked with the mileage listed on the odometer statement.
Westlake will finance TMU VEHICLES; dealer must add 100,000 miles to the mileage showing on the odometer and book
value. TMU vehicles are never to be booked with less than 150K miles. TMU requires customer acknowledgement of title
brand status. Exempt vehicles or vehicles 10 years old or older will require odometer representation signed by the dealer
and customer.
New Car Financing Policy- Vehicles must be current-year models and have less than 200 miles to be considered new. Enter
manufacturer invoice as book value. We do not give credit for Dealer cash or rebates, meaning that if the deal includes
a rebate, that amount will not be calculated in the Buy Program™. You will adjust the sales price to reflect the price less
the rebate when scoring the deal, and the actual down payment in the Buy Program™. The contract may reflect the
rebate and the higher cash price, but the rebate cannot be accepted as part of the down payment in the Buy Program™.
Non-Financeable Vehicles- Western Funding will not finance non-approved commercial vehicles, taxis, police units
(including police interceptors), or vehicles with branded titles, such as totaled, salvaged, rebuilt, with the exception of
TMU.
Number of Repossessions/Auto Losses- Count all repossessions- Voluntary surrender, redeemed repos, paid repos,
charged- off autos, BK LIQ autos, insurance deficiency autos, and any other autos (or installment loans from an auto lender
) that appear to have ever been repossessed, skipped or resulted in any form of a loss to a creditor. If the spouse is listed on
the contract, enter the number of their combined repossessions.
Open Auto Loans- Western Funding will approve a deal for a customer with one existing open auto loan when the customer
and deal meet all of the following criteria: 1) The current deal’s LTV is less than 100%, 2) Customer FICO of 635 or above, 3)
Customer has a minimum of 3 years on the credit bureau, 4) Manager review of balance and length of open auto (min 6
months), 5) Open auto is a motorcycle and 6) Customer has a high trade line of $8,000 or more 7) Loans with a co-habitant
cosigner are allowed one open auto. 8) Other or Parent co-signers are ok to have open auto loans. Note: Any existing open
auto loans must be current. If open auto loan is a repo, a total loss or being paid by someone else, additional
documentation (i.e. repo letter for repos, insurance letter for total losses, or cancelled checks/bank statements for
someone else paying) will be required.
Present or Prior Westlake or Western Funding Accounts- Western Funding will allow a second account for a couple who
has made at least 6 consecutive on-time payments on an account that is current.The deal must be pre-checked.
Residence Stability and Job Time- Scoring begins at 18. Be aware of whether or not the driver license and paperwork
conflict with the residence time, including all stips and credit reports. Temporary residences will not be accepted (Hotels,
Motels, group homes, etc.) No documentation will ever change or override any conflict with stability. Seasonal and Union
workers are capped at 2 year job time. Temporary jobs/agencies enter 0.1 years unless time can be verified with the
employer, not the agency. Self-Employed could be more than 2 years, but ample evidence must be provided, such as
business license or bank account displaying opening date. Tax returns to show time on job are not considered evidence.
Resubmitted Deals- A deal with the same customer can only be resubmitted once.
Returned Deals- Deals missing two or more major stips (Contract, Credit Application, and Proof of Income etc.) are
subject to being turned down regardless of the deal’s age.
Stipulations- Complete deals are rewarded with faster funding. Deals missing two or more major stips will be returned to
dealers and will require resubmission.
Any deviation from Western Fundings’ stated policies may result in delayed funding, decreased net check, or denial of credit to
applicant. It is the dealer’s primary responsibility to verify the validity of the customer’s information as stated on application.