1-800-554-1026 June 1, 2015
ON THE WEB: ServNet Adds Member
Greater Rockford Auto Auction is the newest member of ServNet, the independent auction group. The announcement was made at ServNet’s owners’ meeting held recently in Dallas.
FTC Supports Direct Automotive Sales
Federal Trade Commission staff has submitted comments to the Michigan legislator on the possible competitive effects of a legislative proposal creating an exception to current law that prohibits automobile manufacturers from selling new vehicles directly to consumers. The comment, concerns Senate Bill 268, which would permit manufacturers of a category of vehicles, “autocycles,” to choose whether to sell directly to consumers, through dealers, or through some combination of the two.
Auction Goes Paperless
Effective June 1, Dealers Auto Auction of the Southwest will be “operationally” paperless in conjunction with the release of its new app.
Rush - Dated Material
www.usedcarnews.com
Industry Veteran Seeks New Challenges By Jeffrey Bellant
LAS VEGAS – Don Foss, founder of Credit Acceptance Corp., became the newest inductee into the Buy-Here, Pay-Here Hall of Fame during a recent conference at the Wynn Las Vegas. Foss was honored by the National Alliance of BuyHere, Pay-Here Dealers for his careers as a dealer, lender and leader of the industry. Ingram Walters, a North Carolina dealer, introduced and praised the newest member of the group’s Hall of Fame. “This guy has a track record that is phenomenal,” Walters said. “He got into the used-car business in 1967 with a dirt lot that he rented for $35 a month.” Foss’s growth was “systematic, diligent and amazing.” Eventually, Foss would have 17 lots and sell 1,500 cars a month. Foss was billed as the world’s largest used-car dealer. “He was at the top of the industry. But when he got to the peak, he didn’t rest, he didn’t withdraw,” Walters said. “He looked around at
Photo by Jeffrey Bellant RECOGNITION: Automotive entrepreneur Don Foss displays the cup he received in recognition of his induction into the National Alliance of Buy-Here, Pay-Here Dealers’ Hall of Fame.
other mountains he wanted to climb. He looked at other peaks that he wanted to reach.” So Foss started Credit Acceptance, built it nation-
wide and took it public. “Once again, he found himself at the top,” Walters said. Again, Foss sought other peaks and started a lease-
here, pay-here business. “Does anybody want to bet this guy won’t make it to the top again?” Walters said. Continued on page 12
Payment Assurance Providers React to Loss of 2G Networks By Ted Craig
Dealers again face a situation where consumer demands for the latest technology are forcing them to spend money on upgrading their payment assurance devices. The last time it was the mandated move to digital from analog to open up bandwidth for mobile devices. This time it is 2G that is being sacrificed due to the ever-increasing demand for online videos and other data hogs. AT&T, the largest 2G provider, announced it will phase out its entire network by the end of 2017. The process is al-
ready well under way, said Chris Macheca, chief operating officer for PassTime. “Large portions are coming down every single month,” Macheca said. AT&T so far targets areas where it needs more bandwidth, such as large cities, or places where it needs to update infrastructure. T-Mobile isn’t facing the same spectrum squeeze as AT&T. The company is guaranteeing 2G through 2017 and it will take a few years to shut down the network after that. Continued on page 14
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