U.S. Floorplan Risk Management
U.S. Floorplan Product Features (Cont.)
Floorplan
Interest Rate
Prime rate plus generally 1.50% for both new and used vehicles
Floorplan rates are not risk based
In-transit Vehicle
Adjustment Fee*
•
•
Prime rate plus a spread (which may be negative) agreed upon by Ford and Ford Credit
The spread has ranged from -0.72% to 0.30% per annum over the past five years
New Vehicle
Lines**
Based on a 60-day vehicle supply
Not a strict credit limit and Ford Credit typically permits dealers to exceed their new vehicle credit lines
for business reasons, including seasonal variations in sales patterns
Ford Credit generally sets vehicle credit lines below anticipated peak inventory levels
Used Vehicle
Lines
Based on a 30 to 45-day vehicle supply depending on dealer risk rating
Strictly monitored credit limit and Ford Credit generally does not allow dealers to exceed their used
vehicle credit lines without specific approval
*
**
In-transit floorplan receivable is created at vehicle shipment to dealer
New floorplan receivable is created on the date the vehicle is delivered to the dealer
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Ford FORD CREDITView entire presentation