Does your dealership know the difference between pre-screen and pre-qualify?

Since filling out lead forms is becoming a thing of the past, there’s a lot of buzz out there about soft credit pull, pre-screen and pre-qualification products to capture consumer engagement online.

Pete MacInnis, CEO and Founder of eLend Solutions joined us recently and talked about the confusion in the marketplace regarding the difference between pre-screen and pre-qualify. For instance, when we’re talking about pre-screen, consumer consent is not required. For pre-qualification, consumer consent is.

For pre-screen, a fico score (or range) and no or limited data is provided. For pre-qual, exact fico score and all credit report data-elements are available.

For pre-screen, a firm offer of credit to is required. For pre-qualify, a firm offer of credit is not required. For pre-screen, compliance tracking of offer terms and firm offer of letter-production are required. For pre-qualify, compliance tracking of offer of letter-production are not required.

And pre-screen, adverse action, risk based pricing, etc. Are required. For pre-qualify, adverse action, risk based pricing ect, are not required.