As the program rolls out this month, our hope is that it will open up credit markets and attract more dollars to the RV industry.
(Vocus) March 25, 2009
With spring break upon us and summer approaching, it's traditionally a popular time in motorhome sales. However with credit still tight, RV sales are, and will be, tough. Proponents of the TALF (Term Asset-Backed Loan Facility) which rolls out this month, say this could be what opens credit markets and attracts more dollars to the industry.
"We are entering a popular season for RV sales," says Clint Ethington of Pedata RV Center. "Our prices are at record lows. We are getting interested buyers left and right. However credit is still an issue."
RVIA, a national trade association representing the RV industry, recently hosted a seminar in South Bend, Oregon on March 11 titled "TALF and the RV Industry". The seminar outlined how the (TALF) may help the RV industry recover from the economic crisis. Robert Snow, an RV finance and asset backed loan specialist of Capital Carillon, let the seminar and explained:
"..under TALF, the United States Treasury is providing $20 billion in credit protection to the Federal Reserve Bank of New York, which will then lend up to $200 billion to investors looking to purchase asset-backed securities (ABS) that are backed by the following loan collateral: RV, auto, motorcycle, credit cards, student loans and SBA loans, as well auto and RV floorplan facilities. Through the effort, financial institutions will be encouraged to make RV floorplan and consumer loans because they can be assured a secondary market exists for those loans when securitized…"
Rep. Joe Donnelly, D-Ind., was also a presenter seminar and addressed RV industry leaders. According to RVBusiness.org, Rep. Donnelly said "TALF is expected to be very lucrative and profitable for lenders and investors with the Treasury Department backing up loans in a big way," said Donnelly. "As the program rolls out this month, our hope is that it will open up credit markets and attract more dollars to the RV industry."
"We have some good supporters of our industry leading the push forward," says Ethington. "We applaud their efforts and hope the TALF not only helps our industry, but the economy as a whole."
For More Information:
For more information on Pedata RV Center or current trends in the RV industry contact Clint Ethington, General Manager, at clint (at) pedatarvcenter (dot) com or by phone at: 1-888-545-8314 or 520-807-0900. Or visit Pedata RV Center online at http://www.pedatarvcenter.com.
Pedata RV Center
Phone: 1-888-545-8314 or 520-807-0900
Email: clint (at) pedatarvcenter (dot) com