BNS branch stages one-day 14.95% car loan sale
Published:Sunday | March 6, 2011 | 12:00 AM
Carl Gilchrist, Gleaner Writer
Scotiabank St Ann's Bay staged a one-day loan sale last weekend that cut the interest rate on car loans by one to two percentage points, an initiative by the branch to gin up business for the bank.
For one day, customers of the branch could access car loans at 14.95 per cent in a sales blitz dubbed 'Carmania'.
"With the regular rate being being between 16.95 and 15.95 per cent, today is the lowest rate in the entire island and it's for St Ann's Bay customers only," said branch manager Michelle Senior during the day's event.
Regular car shows
The one-day rate would hold for the life of the loan, she said, which is usually about six years, and up to seven years for new and high-end vehicles.
Scotiabank branches stage regular car shows to push sales, but the added incentive of a cut in the loan rate was an initiative of the St Ann's bank, said Senior.
"It's a partnership with used-car dealers. We identify a few of them throughout the year and put on a car show," Senior said.
The three automobile dealers participating in the St Ann's Bay show got a combined 15 purchase commitments from prospective buyers, but only one transaction was executed up to Monday, with the other 14 pending. Art's Car Mart of Ocho Rios, Bess for Less Car Mart of St Mary, and Auto Channel Limited of Kingston showcased 31 cars on the day with prices as high as J$5.57 million.
The effort was led by the branch's sales team, members of which are reportedly top sellers within the bank's network.
"We are the number-one sales team in the island for Scotiabank for 2010-2011 in retail-lending sales; we are the top sellers of deposits and lending products," said sales team member Paolo Fakhourie.
St Ann's Bay had 25 per cent growth in its retail-loan portfolio last year.
"The closest follow-up was 20 per cent, so we were five per cent ahead of the competition," said Fakhourie.