In December 2015, the Federal Reserve kicked off the process of raising interest rates. Soon after, car dealers experienced an increase in the cost of floor planning their inventory.

Today, the federal interest rates are five times higher than they were three years ago and show no signs of slowing down—prompting dealers to overcome new, never-before-seen obstacles.

But Jim Money, president of Automotive Finance Corporation (AFC)—a sister company of ADESA that specializes in finance programs for vehicle inventory—thinks dealers have little to worry about in the wake of the Fed’s rate hikes.

In a conversation with Used Car News, he talks about the interest rate increases, the Fed’s handling of the changes and how car dealers and the remarketing industry are pivoting their floor plan strategies to adapt.

Read the full article, “Floor Planners Meet Challenges of Rates, Tech,” on pages 1 and 8 in the May 7, 2018, edition of Used Car News.