June 3, 2013ÛÛÝÛÛ
USED CAR NEWS
Dealer Made His Mark While Spreading Gospel By Jeffrey Bellant
LAS VEGAS – The National Alliance of Buy-Here, PayHere Dealers added John Linnehan, former owner of Linnehan’s Credit Now Auto in Ellsworth, Maine, to its Hall of Fame. Ingram Walters, owner of iCars in Monroe, N.C., announced the award during the NABD conference at the Wynn Las Vegas. “He’s a legend in our industry,” Walters said. “For over 60 years, the name ‘Linnehan’ was well known across the state of Maine. Those close to him, like me, knew that he rose on the tide of his own ambition. “He’s one of the few men I’ve seen in Las Vegas carrying a Bible.” Since selling the business, Linnehan has been working on Christian ministry fulltime, planting churches and schools, along with and other work through his Good News Center in Trenton, Maine. Linnehan also gave an inspirational session to dealers at the NABD and he made it count. He brought in a friend
who performed “God Bless America,” along with a couple of other songs. “This is one of the highest honors I’ve ever received in my life,” Linnehan said. His talk was as much a sermon as anything else, as he quoted the Bible throughout and even ended with a prayer for the attendees. But he also focused on the traits needed to achieve success in business and life. He talked about the importance of character and integrity – keeping your word. Linnehan said leaders also need confidence, humility, focus, vision, goals and fun. “You can have fun (despite what others might say),” he said. One of the most important traits a leader must have is love, Linnehan said. He also said that leaders must always try to excel and improve at what they are doing. At the same time, contentment is also important, he said. Although Linnehan’s goal was always to achieve the great success he’s had, he
Photo by Jeffrey Bellant WELCOME TO THE CLUB: Ken Shilson, left, and Ingram Walters, right, of the National Alliance of Buy-Here, Pay-Here Dealers, welcome John Linnehan, center, to the NABD Hall of Fame.
warns other dealers about the dangers of fame. “Don’t let it go to your head,” he said. Linnehan said striving for these traits and values can help dealers reach their goals. Linnehan’s plan for success apparently worked.
“He was the largest usedcar dealer in Maine for many years,” Walters said. One of the times he came up short was when he made a bid for the state Senate in Maine and lost, Walters said. But it was one of the few endeavors he failed to
succeed at. Walters said Linnehan’s dedication to his vision and the way he has carried himself has been an inspiration to him, “Despite the fact that I stand over 6 feet 5 inches tall, I always feel small when I’m next to him,” Walters said.
Credit Reports Offer Insights Beyond Bad Score By Ted Craig
Many buy-here, pay-here dealers don’t pull a potential buyer’s credit history, knowing it will be bad. They miss out on a lot of useful information by doing that. Dealer Fran Cavenaugh told attendees at the recent National Alliance of Buy-Here, Pay-Here Dealers Academy that she always has her underwriters pull credit reports. One of the main reasons is a credit report helps verify information such as residency, Social Security number and addresses. The reports also show the honesty of the potential customer. Cavenaugh said it often turns out the potential customer carries more debt than they admit. “They don’t always tell you all the debt they owe,” Cavenaugh said. “And I’m not certain they know all the debt that they owe.” There are differences between the types of debt, as well, with some creditors proving more aggressive in collections. Medical creditors are garnishing wages more often. Also, the federal government will deduct back payments on student loans from tax refunds. That can create problems in using these
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refunds to catch up on car payments. Credit reports also provide important information about child support. Unpaid child support can become a major issue, landing a customer in jail which means no car payments. Another area in which an applicant might bend the truth, knowingly or not, concerns bankruptcies. A potential customer may list a bankruptcy, but say it was discharged when it was really dismissed. There’s a major difference. A discharged bankruptcy means all the requirements were met while a dismissed bankruptcy means the court voided the process. Cavenaugh said a credit report often also reveals the difference between what a dealer and a consumer considers a repo. She said many consumers consider returning a car they are unable to pay for as a minor matter, whereas a dealer views it as a voluntary repossession. Cavenaugh said the most important information in a credit report regards how the consumer paid past auto credit. “That’s how they’ll pay you,” Cavenaugh said.
Photo By Ted Craig READING BETWEEN THE LIES: Dealer Fran Cavenaugh shares her best ideas for checking a potentital customer’s credit background. Cavenaugh recommends going over credit reports.
Cavenaugh offered others tips in addition to pouring through the credit reports. A critical one is knowing the differences in types of phones and living arrangements that determine a potential customer’s likelihood to stick around.
Cavenaugh is cautious when a consumer’s cell phone comes from a pre-paid plan, such as Cricket or MetroPCS. She also prefers home owners to renters. And owning a home means having a mortgage, not a land contract or contract to deed.
5/28/13 9:43 PM