Lenders in Canada Must Exceed Dealer Expectations to Drive Business Growth, J.D. Power Finds
Ford Credit (Captive Prime) and TD Auto Finance (Non-Captive) Rank Highest in Respective Segment
TORONTO: 6 May 2025 – As Canada’s automotive sector enters unknown territory amidst an evolving trade market, potentially increasing cost of borrowing and higher new-vehicle pricing, lenders face significant challenges and need to exceed dealers’ expectations to grow their business according to the J.D. Power 2025 Canada Dealer Financing Satisfaction Study,SM released today.
“In the current economic climate, just meeting dealers’ expectations is no longer the catalyst for growth,” said Patrick Roosenberg, senior director of automotive finance intelligence at J.D. Power. “How a lender’s sales rep engages with their dealers in terms of responsiveness, ability to solve issues and communicate consistently has a significant effect on satisfaction, which eventually manifests itself in generating new business opportunities.”
According to the study, top-performing lenders with high satisfaction scores are more likely to get additional business from dealers (61% for top-ranking captive and 56% for top-ranking non-captive) during the next 12 months compared to those in the middle of the pack (50% and 42% captive and non-captive respectively).
Nearly two-thirds of dealers (63%) said they “definitely will” increase business in the next 12 months when sales rep facilitation of contract and problem resolutions exceeded expectations. That figure drops to 42% when expectations were only met. Sales rep’s responsiveness and effectiveness also play a role in dealer satisfaction. While most (62%) dealers prefer an on-site visit for a sales meeting, 71% favour phone communication for problem resolution and expecting the reps to respond within half an hour or less (77%).
Study Rankings
Ford Credit ranks highest with a score of 812. Hyundai Motor Finance (793) ranks second followed by Honda Financial Services in third spot (775).
In the non-captive prime segment, TD Auto Finance ranks highest, with a score of 830. Scotiabank ranks second (799).
In the non-captive non-prime segment, TD Auto Finance ranks highest for an eighth consecutive year, with a score of 820.
The Canada Dealer Financing Satisfaction Study, now in its 27th year, measures new-vehicle dealer satisfaction with their finance providers and sheds light on the key role that lenders’ sales representatives play in securing new business growth. This year’s study included 5,974 finance provider evaluations across three segments, all from new-vehicle dealerships in Canada. The study was fielded in February 2025.
For more information about the Canada Dealer Financing Satisfaction Study, visit https://www.jdpower.com/business/auto-finance/canada-dealer-financing-satisfaction-study.
About J.D. Power
J.D. Power is a global leader in consumer insights, advisory services, and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modelling capabilities to understand consumer behaviour, J.D. Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 56 years. The world's leading businesses across major industries rely on J.D. Power to guide their customer-facing strategies.
J.D. Power has offices in North America, Europe and Asia Pacific. To learn more about the company's business offerings, visit JDPower.com/business.
Media Relations Contacts
Gal Wilder, NATIONAL; 416-602-4092; gwilder@national.ca
eno Effler, J.D. Power; West Coast; 714-621-6224; media.relations@jdpa.com
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