Not all bankruptcies are created equal, and treating them as the same is a quick way to tank your conversion rates. For a dealership’s special financing department, the distinction between a Chapter 7 (Liquidation) and a Chapter 13 (Reorganization) filing is critical. BEBdata provides the granularity needed to see these differences, allowing you to tailor your marketing message to the specific legal and financial reality of the consumer.

A Chapter 7 consumer is often looking for a quick turnaround. Since their unsecured debts are typically discharged within a few months, they are “clean” prospects looking for a long-term vehicle solution immediately. Marketing to this group should focus on the “Fresh Start” and the simplicity of getting back on the road. They have the most immediate buying power and are the primary targets for most subprime lending programs.

On the other hand, Chapter 13 consumers are on a three-to-five-year repayment plan. While they are still viable customers, the marketing approach must be more nuanced. These individuals often need court permission to take on new debt, meaning your dealership needs to position itself as an expert in “Order to Incur Debt” (OID) paperwork. If you can show a Chapter 13 filer that you know how to navigate the legal hurdles, you win a loyal customer for life.

By segmenting your BEBdata lists by chapter type, you can ensure your creative assets resonate. A Chapter 7 mailer might emphasize “Instant Approval,” while a Chapter 13 outreach might emphasize “We Work with the Trustee.” This level of personalization shows the consumer that you don’t just want their business—you actually understand their situation.