TORONTO, ON (November 18, 2024) – AmeriTrust Financial Technologies Inc. (TSXV:AMT) (OTC Pink:PWWBF) (Frankfurt:1ZVA) (“AmeriTrust“ or the “Company“), a fintech platform targeting automotive finance and specializing in used vehicle lease originations for the automotive industry, is pleased to announce the launch of a new division called AmeriTrust Serves.
AmeriTrust Serves is an asset loan and lease servicing platform focused on providing the Company’s national lending partners with technology, loss mitigation, and customer care unlike any other servicing model in the automotive industry. AmeriTrust’s CEO Jeff Morgan commented: “Technology in lending is advancing rapidly and AmeriTrust is focused on all stages of computer networking, machine learning, and the rapid development of Artificial Intelligence. The evolution of AmeriTrust, and now AmeriTrust Serves, is based on 45 years of auto finance industry statistical data that has been incorporated into our proprietary technology and algorithms.
AmeriTrust Serves’ model is to create efficiencies and enhance customer retention throughout the loan or lease servicing process. Our servicing platform is managed in-house, as opposed to being outsourced. Benefits of an in-house servicing platform include better control over customer interactions and service quality, a more personalized customer experience, better data security, greater employee engagement and greater customization and flexibility in processes and training. AmeriTrust Serves utilizes an approach that is driven by cost efficiencies through our technology, and when needed, a personal touch from in-house corporate employees. We have developed a common-sense approach to how customers should be communicated with, and it is proving to be effective. AmeriTrust Serves and AmeriTrust Auto, the vehicle remarketing division of the Company, have developed a unique in-house technology-focused servicing and remarketing platform that, according to our largest lending partner, UNIFY Financial Credit Union (“UNIFY”), has mathematically proven to mitigate their losses, reduced customer expense, and has generated new revenue streams for AmeriTrust. Since we began testing these innovative servicing and remarketing systems in April of this year, we are seeing lower delinquency rates, higher asset recovery, lower remarketing expenses, higher returns at point of sale, and all the while improving customer satisfaction.”
UNIFY’s CFO Nathan Montgomery commented: “We agreed to test the services of AmeriTrust Serves earlier this year when Jeff Morgan returned to the company. Since that time, we have seen strong results in delinquencies, recoveries, and losses to that portfolio.”
Jeff Morgan commented further: “I would like our shareholders to be well informed of our agenda. While in-house auto finance is a top priority, it can take time to identify the right partners, to complete due diligence, and then to execute definitive legal agreements. The Company’s previous financing agreements with Tesla, Goldman Sachs, and MUSA took eight months to finalize. AmeriTrust Serves is now operational and able to produce revenue. AmeriTrust Auto is now receiving vehicles from its partners and is very close to a full launch. These two divisions will result in a large reduction of net cumulative losses for our lending partners, while at the same time increasing customer satisfaction and retention. I am looking forward to further enhancing AmeriTrust and providing a superior asset loan and lease origination, finance, and now servicing platform for our partners.”
AmeriTrust would also like to announce the appointment of Troy Hocker to the position of Chief Revenue Officer. Troy is a seasoned automotive finance executive with over 20 years of industry experience at the largest direct to consumer leasing company in the country. During his tenure he helped develop and implement highly successful training programs, laying the foundation for future growth. Troy played a pivotal role in the company becoming a billion-dollar enterprise.
About AmeriTrust Financial Technologies Inc.
AmeriTrust Financial Technologies Inc., listed on the TSX Venture Exchange, OTC Pink, and Frankfurt markets, is a finance solution and fintech provider disrupting the automotive industry. AmeriTrust’s integrated, cloud-based transaction platform facilitates transactions amongst consumers, dealers, and funders. AmeriTrust’s platform is being made available across the United States.
For further information, please visit the AmeriTrust website or contact:
Shibu Abraham
Chief Financial Officer and Director
E: [email protected]
P: 800-600-6872
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
Forward-Looking Information
Certain information included herein is forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking information may include statements regarding the objectives, business strategies to achieve those objectives, expected financial results (including those in the area of risk management), economic or market conditions, and the outlook of or involving AmeriTrust, its subsidiaries and its businesses. Such information is typically identified by words such as “anticipate”, “believe”, “continue”, “estimate”, “expect”, “plan”, “forecast”, “future”, “outlook, “guidance”, “may”, “project”, “should”, “strategy”, “target”, “will” or similar expressions suggesting future outcomes.
Forward-looking information in this document includes: future financial position and the rollout of AmeriTrust Serves.
Forward-looking information is provided for the purpose of providing information about management’s expectations and plans about the future and may not be appropriate for other purposes. Forward-looking information herein is based on various assumptions and expectations that AmeriTrust believes are reasonable in the circumstances. No assurance can be given that these assumptions and expectations will prove to be correct. Those assumptions and expectations are based on information currently available to AmeriTrust, including information obtained from third party industry analysts and other third-party sources, and the historic performance of AmeriTrust’s businesses. Such assumptions include the timing of receipt of necessary regulatory approvals, anticipated financial performance, current business and economic trends, the amount and timing of future dividends paid by AmeriTrust, business prospects, utilization of tax basis, regulatory developments, currency, exchange and interest rates, commodity prices relating to the automotive industry, trading data, cost estimates, our ability to obtain financing on acceptable terms, and statements regarding net working capital, anticipated operational and capital expenditure reductions, the length and impact of COVID-19 on AmeriTrust’s businesses and customers and capital expenditure requirements of AmeriTrust, the assumptions set forth under the “Financial Outlook” sections of our MD&A. The forward-looking information is also subject to the risks and uncertainties set forth below.
By its very nature, forward-looking information involves numerous assumptions, risks and uncertainties, both general and specific. Should one or more of these risks and uncertainties materialize or should underlying assumptions prove incorrect, as many important factors are beyond our control, AmeriTrust’s actual performance and financial results may vary materially from those estimates and intentions contemplated, expressed or implied in the forward-looking information. These risks and uncertainties include those relating to incorrect assessments of value when making acquisitions, increases in debt service charges, the loss of key personnel, the anticipated impact of the COVID-19 pandemic, the impact of increased inflation and the expected economic recession, fluctuations in foreign currency and exchange rates, inadequate insurance coverage, liability for cash taxes, counterparty risk, compliance with environmental laws and regulations, reduced customer demand, operational risks involving our facilities, force majeure, labour relations matters, our ability to access external sources of debt and equity capital, and the risks identified in our MD&A under the heading “Risk Factors”. The preceding list of assumptions, risks and uncertainties is not exhaustive.
When relying on our forward-looking information to make decisions with respect to AmeriTrust, investors and others should carefully consider the preceding factors, other uncertainties and potential events. Any forward-looking information is provided as of the date of this document and, except as required by law, AmeriTrust does not undertake to update or revise such information to reflect new information, subsequent or otherwise. For the reasons set forth above, investors should not place undue reliance on forward-looking information.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws, unless an exemption from such registration is available.
