RIFCO to provide loans through CARSTAR

RIFCO INC. (TSX.V: RFC) has signed an agreement with CARSTAR Automotive Canada (CARSTAR) to offer repair loans through more than 110 stores across Canada.
Doug Decksheimer, RIFCO’s vice president of marketing, said “RIFCO is proud to announce a strategic alliance with CARSTAR to offer its convenient financing program.”
The rollout of the CARSTAR program is already underway and is estimated to be complete within 90 days. RIFCO management estimates that once the rollout is complete, the relationship will generate loan volumes of Cdn$500,000 to Cdn$1 million annually.
On Feb. 21, 2006, Larry Jefferies, CARSTAR’s executive vice president, will officially introduce RIFCO to the CARSTAR Canada Network.
“It has become increasingly clear over recent years that the percentage of insurance paid collision repair work has declined,” Jefferies said. “In some regions, over half of the collision work is ‘customer pay.’ We feel it is important to provide our customers with a full range of options, which will now include RIFCO’s convenient payment plan. We see offering RIFCO’s payment plan to our customers as consistent with our commitment to world-class ethics, standards and consistency.”
The CARSTAR organization has more than 300 automotive repair locations across North America. It repairs approximately 1 in 20 vehicles in Canada 6,000 vehicles per month.
RIFCO Inc. (TSXV: RFC) is a specialty consumer finance corporation. It provides automotive and commercial repair financing and vehicle purchase financing to mid-market motorists.