(MENAFN- Abtodom) The International F&I Forum 2025 was held in Moscow on September 18, 2025. Auto dealers, auto manufacturers, banks, leasing, and insurance companies discussed the changing demand for financial and insurance services in the dealership sales channel and mechanisms for building customer trust in auto retail. Max Zanan, an international expert in the automotive business and founder of the American company TDC with 20 years’ experience in sales, finance and insurance, participated in the forum. The speaker shared his experience developing the F&I segment in the US with the participants. He discussed tools that help American auto dealers increase commission income when interacting with banks, insurers and other financial sector representatives. Zhanna Spetsialnaya, Deputy General Director of the Financial Services at the AVTODOM Group, presented the Russian expertise.

Auto loan trends in Russia and the US were one of the central topics of the forum. According to the analytical agency Edmunds, more and more Americans are choosing loan programs with terms longer than 7 years amid rising car prices. The number of such transactions exceeded the historical record of the second quarter of 2025, reaching 22.4%.

US residents purchased more than 80% of new cars and more than 37% of used cars on credit or lease in 2025. These figures are significantly lower in Russia. Financial instruments available for purchasing a car in the US with borrowed funds remain more attractive. This is primarily due to lower auto loan rates. According to State of the Automotive Finance Market, they averaged only 6.73% in 2025. Meanwhile, automaker banks provide 57% of funding for new car loan transactions. They offer flexible interest rate subsidies and various additional marketing programs.

According to the National Bureau of Credit Histories, the total cost of a car loan has decreased by 8 percentage points in Russia since January 2025, but remains high. It stood at 22.8% in May 2025. Banks approved only 15.4% of car loan applications, coupled with a low approval rate in May. The number of loans issued to buyers amounted to 108900 in August 2025. This is 30.2% less than for the same period in 2024. Despite this, experts predict a slow but steady increase in the number of credit transactions amid a decrease in the key rate. It already reached 17% on September 12. An increase in loan issuance was already noted in August. The volume of issued car loans increased by 10.3% compared to July 2025.

During the forum, Zhanna Spetsialnaya, Deputy General Director of the Financial Services at the AVTODOM Group, presented her experience developing F&I in the Russian market: "Dealership management doesn't always appreciate the potential of F&I as a primary source of additional margins. The lack of a strategic plan for developing financial services sales within the dealership channel leads to insufficient investment in staff training and development. Car dealers view F&I as a sideline. Dealership sales staff often lack the necessary competencies to effectively work in the F&I segment, which leads to lost profits."

Automotive expert Max Zanan spoke to event participants about the prospects for F&I development at dealerships, drawing on global expertise: "Businesses lose money daily. Without F&I the average lost profit is $2000-2500 per vehicle. An effective sales channel for additional financial services brings in up to $2000."

The expert is confident that high-quality financial products with clear and transparent terms, guaranteed payments and the REPAIRED FOR LIFE program with a lifetime warranty on purchased vehicles are the foundation for effective F&I in the US and Russia.

Forum participants discussed the reasons for the cancellation of contracts for the purchase of additional F&I products in Russia and the US. The regulator establishes a 30-day cooling-off period in Russia. Customers can cancel any additional F&I product purchased with a vehicle during this period. The rate of such cancellations is currently quite high. It remains consistently low in the AVTODOM group of companies, averaging 0.7% in the first half of 2025.

Customers can cancel any F&I product not only during the 30-day period but also throughout the entire product term in the US. However, the cancellation rate for purchased additional products does not exceed 1%. Most cancellations occur when a vehicle is totaled in an accident, repossessed by a bank for non-payment or traded in for another vehicle. Experts attribute this low cancellation rate to the high quality of the products and services offered and the consistency of pricing. This increases customer loyalty.

American auto dealers offer the most appropriate F&I products based on customer needs. For example, they offer programs with gap protection to new car buyers, and products that include additional engine protection or roadside assistance to those buying used cars.

Russian and international experts agree that changing dealerships' approach to the F&I concept is the key to transforming financial and insurance services into a product that consumers demand. Focusing on transparent terms, guaranteed payments and consistent pricing will increase the margins of these products and reduce the cancellation rate.

Growing demand for financial and insurance services in Russia will also depend on a change in management philosophy and close cooperation with regulators and credit institutions to improve lending terms. This will also depend on building honest and long-term relationships with clients by offering truly valuable and high-quality products.

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