Consumer finance companies change with the times. And as the landscape surrounding consumer financing continues to evolve, following technological and financial forces, you have to keep up with consumer financing companies to be able to make the best presentations and know what your competitors are doing. The personal finance industry should be followed closely so that you can remain competitive and land the big contracts.

Follow the trends that are affecting consumer finance options in a variety of ways. Read consumer finance company publications that can keep you updated with news and information. Subscribe to white papers and consumer lending articles. Take advantage of consumer financing trade groups that keep members apprised of news and trends. Look for consumer finance news and trends in a number of ways.

1. Get email alerts and personal finance company newsletters

2. Participate in associations for consumer finance products

3. Subscribe to magazines for consumer finance companies

Action Steps
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Receive news alerts about consumer finance corporations

Set up a separate email account to get email alerts, RSS feeds and industry newsletters that will send you news as it happens, the latest trend pieces and information about what the major industry players are up to. Check this email daily so you don't miss out on important news.

I recommend: Bankrate provides consumer finance news, market reports and blogs for the private investor and businesses. Look at a round-up of financial news from around the country every day at The Big Money. For consumer finance news from the banker's perspective, check American Banker.

Join consumer finance company groups

Association with other professionals in the same field will provide you with an inside track to news, often before it hits the press. Get involved with your trade association and take advantage of the networking opportunities to develop relationships as well as the group's newsletters and communication vehicles. Follow regulatory news on consumer finance by tracking reports from government agencies.

I recommend: The Federal Reserve puts out a number of reports that could help you keep up with changes in the industry, including the Federal Reserve Bulletin, which will keep you updated on trends. Members of the Consumer Bankers Association are updated with the latest news and receive other networking and informational opportunities.

Read about the latest personal finance news

Take time to read in-depth reports and magazines that cover the industry further than the headlines. Often the best information that can help drive your own business decisions comes from investigative reporting and research articles that take a deeper look into industry issues.

I recommend: iMoney.net will keep you informed of rates and consumer financing news from around the globe. Get news you can use and other helpful tips for industry insiders and personal investors through the programs at Money Management.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Encourage your staff to read publications and websites that can bring even more news about consumer finance lenders. Make it fun by giving a prize to the team member who comes up with the best news tidbit each month.

Consumer finance, in its broadest sense, covers every type of consumer lending, including loans from retail banking and finance companies. For customers with low credit ratings, consumer financing is often their only option to receive an unsecured loan. Too often, though, some consumer finance companies offer sub-prime lending to those who simply cannot afford the interest rates and repayment schedules, further compromising their already shaky credit status. Still, consumer financing is a viable component of a stimulated economy, allowing consumers to purchase big-ticket items like windows, pools or spas, furniture and other home improvement items.

Be a responsible business owner by offering a customer a personal finance loan only from reputable lenders. Too often, consumers neglect to read the fine print of their contracts and are caught by surprise when interest rates unexpectedly hike. Make sure the consumer finance company you offer customers is a reputable one that provides loan rates that don't border on usury.

Here are things you should consider before offering customers a personal finance loan:

1. Learn the pros and cons of consumer financing.

2. Research consumer finance companies.

3. Read up on consumer finance information.

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Know the benefits and detriments of personal finance loans

Before you offer consumer financing to your customers, understand the process and products of consumer financing so you can explain the pros and cons to your customers.

I recommend: Dart-Creations provides a caveat emptor about consumer finance companies in general. Learn about consumer finance scams at the Federal Trade Commission's website.

Research and compare before choosing a consumer finance company for customers

You want to offer customers the best consumer finance options possible, so compare consumer finance companies and banks before choosing one.

I recommend: Wells Fargo and Citibank are both reputable lenders with competitive rates on consumer finance products.

Consider consumer financing for your business

Consumer financing can provide funding for businesses--not just their customers. Consider it for things like new must-have equipment and business expansion.

I recommend: CitiFinancial makes it easy for businesses to get cash quick, if needed. You can even fill out a loan application online. Accommodative Financial Solutions can give you an immediate response to see if your company pre-qualifies for consumer financing.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Take advantage of free online loan calculators to determine pay schedules for you or your customers.
• •  Check for online or local seminars on consumer finance to get the most information possible before offering these types of loans to your customers.

Consumer finance companies are always interested in talking to qualified candidates. While many of the jobs in consumer financing companies are commissioned based sales jobs, there are other opportunities in consumer finance company management that are best achieved with additional consumer finance products training. Educational opportunities are available to candidates who want to advance their career in consumer finance options.

Consider a degree in finance to get you started and add consumer finance information professional development courses through other consumer finance lenders, training centers and trade groups. Take advantage of every consumer lending training course or seminar to fatten your resume. Watch for training for consumer finance in a number of places.

1. Watch consumer financing job boards

2. Participate in consumer finance company trade groups

3. Ask for guidance from consumer finance company experts

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Look for training from personal finance websites

While you are job hunting, or doing your regular industry news updates research, keep an eye out for the trends that are leading the industry to point you to the training that you need to meet the demands of the times. Consider the requirements of the jobs you might like to pursue and find out what certificates or training you can get to make yourself a desirable candidate.

I recommend: Look for a multitude of avenues to pursue a career in consumer finance with the certifications and degrees available at the College for Financial Planning. The Bankers Academy is a great place to find specialized training and certifications for a number of different financial specialties.

Join consumer finance corporation associations for training

Most trade associations offer continuing education and professional development courses for their members. Some groups can guide you to special certification courses that will help you advance your career while offering events and meetings at which you can meet other professionals and find out about other training options.

I recommend: Take advantage of online webinars to supplement your education through the American Financial Services Association. Get an enormous amount of training and certification courses through the Securities Industry and Financial Markets Association.

Find a training mentor for consumer finance information

Whether you can relate to a good manager who might take you on for mentoring, or you seek out a professional in a trade group or other professional association, follow the advice when you're pointed to special training opportunities. Often a designation or degree can make all the difference when you are looking to advance.

I recommend: Get certified to sell a number of consumer financial products through the American Bankers Association. Find more than 400 online courses to advance your career at the Bankers Training Institute.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Talk to your employer about what kinds of consumer financing training they will either pay or reimburse you for, including membership fees in trade associations.

Consumer finance allows a business to gain additional sources of income while awaiting payment from the client. Often, the gap between being paid for a product or service and having to pay accounts payable can limit the cash flow of a business. Third party consumer financing programs are available to bridge that gap including consumer finance asset based lending, consumer finance receivable lending and purchase order financing. Businesses may wish to explore their options and understand terms involved in consumer finance prior to using these services.

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Consumer finance asset based lending

Companies provide businesses with consumer finance asset based lending. These lenders aid businesses in mergers and help them to achieve business goals. Some lenders provide several types of consumer financed lending.

I recommend: Wells Fargo explains what their consumer finance asset based lending offers.

Consumer finance receivable lending

Consumer finance receivable lending is an area many businesses are entering. Here, businesses buy credit card accounts from lenders to collect on the interest from them. The process is similar to buying bank mortgages for an investment purpose.

I recommend: Fountainhead Funding offers a thorough explanation of the process of consumer finance receivable lending. Check out the section under "How it Works" on their website.

Private label credit card programs

Private label credit card programs allow businesses to access loans easier for their consumers. This type of consumer finance tool for businesses is available for prime and sub-prime loans. These programs can help a small business get clients pre-approved for necessary loans. Consider the differences in costs and features of prime and sub-prime loans.

I recommend: East Bridge Funding provides private label credit card programs and offers an explanation on its website.

Purchase order financing

Purchase order financing is a method of financing the production of a product that has been pre-purchased by the consumer. It is a short-term financial solution for businesses that have a strong credit history.

I recommend: 1st Commercial Credit provides an overview of what purchase order financing is and how it works.

Invoice factoring

Invoice factoring is the process of borrowing funds to continue the operation of a business while waiting for consumers to pay their debts. A factoring advance is the amount of money provided to the business, usually at 80% of the invoice's value.

I recommend: Business to Business Capital provides more information on invoice factoring, including diagrams depicting how the process works.

Consumer note purchasing

Consumer note purchasing is the process of turning accounts receivable, including new accounts and older portfolios, into immediate cash for the business.

I recommend: Access Funding Center defines what consumer note purchasing is and how it works.