- PowerBand Solutions subsidiary MUSA Auto Finance, LLC, has secured an agreement with a national depository financial institution that provides the online auto leasing platform with $300 million for transactions
- PowerBand Solutions is building an innovative smart tech platform that streamlines the transfer of money and paperwork associated with financing and inventory, vehicle inspections and auction negotiations
- The remote-access tech solution provides a timely response to the COVID-19 pandemic, which has been responsible for governmental policies worldwide restricting in-person group gatherings
- Despite the reach of the pandemic, Americans’ desire for getting out on the country’s roads during the summer remains high, with some 700 million trips forecast during the season, 97 percent of which would be by automobile
Disruptive fintech innovator PowerBand Solutions (TSX.V: PBX) (OTCQB: PWWBF) (FRA: 1ZVA) announced July 13 that its U.S. leasing division, MUSA Auto Finance, LLC, have begun originating auto loans in Texas and Florida and will soon add California and other states’ markets after gaining $300 million in lease financing from a federally chartered U.S. depository financial institution for its online leasing platform (http://ibn.fm/O9wIq).
The $300-million funding agreement with the national financial institution opens the door for PowerBand to expand its future lending facilities, allowing customers and dealers to use their smart phones or other digital devices to buy, lease, and finance vehicles on PowerBand’s innovative new platform as easily as they buy products through web-based retailers such as Amazon.
The AAA 2020 Summer Forecast Report issued recently by the renowned auto club group predicted that Americans would take 700 million trips this summer, 97 percent of which would be by car due to low gasoline prices and lingering wariness of the shared confines inherent in plane travel. “You have that comfort of being in your own vehicle,” Mark Jenkins, spokesman for AAA, stated in a Tampa Bay Times report (http://ibn.fm/stndu). “You know how clean it is, and you know who you’re traveling with.”
National unemployment rates have remained in the double digits even though they have declined from their April peak of 14.7 percent, representing nearly 18 million people who may have more than the usual amount of free time on their hands while buoyed by pandemic-inspired national economic stimulus programs (http://ibn.fm/h5IV8).
The auto loans launching under PowerBand Solutions’ subsidiary are providing Americans with timely solutions for their driving and financing needs amid the pandemic as an alternative to physical in-person purchasing. MUSA’s platform calculates a lease on a loan application, uses AI functions to automatically render a decision on the application and provides approval to dealer partners when applicable, profiling the lease contract in the process. Approvals can occur in seconds.
“Our strategy is to aggregate further funding facilities in the weeks and months ahead, to offer multi-billion-dollar financing opportunities to consumers and dealers using our platform in the United States and Canada,” PowerBand CEO Kelly Jennings stated in the announcement. “We are looking forward to finally offering our products to our many partners in the automotive sector and millions of consumers in the coming months across North America.”
PowerBand Solutions’ platform streamlines not only the transfer of money and paperwork associated with financing, but also inventory paperwork, vehicle inspections and auction negotiations — all without requiring direct in-person contact that might put a buyer or seller at risk of infection while the pandemic’s transmission rate remains high.
The pandemic’s lasting effect on the economy has yet to be fully calculated, but even if infection rates continue to rise once North America descends into a colder winter season appliances and generally essential goods such as automobiles are likely to remain in demand (http://ibn.fm/1olBD).
PowerBand’s platform is a forward-thinking solution that expects to distinguish itself as an example of American innovation in business during the most difficult of market conditions. MUSA was awarded a contract by Tesla Motors to become a national leasing partner in 2018 as a show of confidence in MUSA’s proprietary technology.
For more information, visit the company’s website at www.PowerBandSolutions.com.
NOTE TO INVESTORS: The latest news and updates relating to PWWBF are available in the company’s newsroom at http://ibn.fm/PWWBF