Spireon Finds Impound Policies Hurt Industry Featured

By Staff Writer September 28, 2018

Spireon has published, “Impound Storage Fees, a Billion-Dollar Problem,” a report that addresses the costs to consumers, dealers and lenders associated with vehicle impounds.

Spireon data indicates about 76,000 vehicles are impounded each day nationwide. Of these, approximately 44 percent remain on an impound lot for four days or more, and some 22 percent stay even longer at 15 days or more.

Based on average daily storage fees, vehicle impounds cost U.S. consumers, dealers and lenders an astonishing $3.04 million each day, which equates to $1.1 billion per year.

 On average, only 31 percent of dealers are notified by the impound lot within one to two days, and typically it can take anywhere from three to 16 days to receive notice, the report finds.

The Spireon report highlights the five states with the highest incidence of impounding, and the vehicle models most frequently impounded. Additionally, the data reveals average storage fees and recovery costs by region. Survey data collected from 280 automotive dealers supplements the vehicle insights provided through Spireon’s NSpire platform.

Last modified on Friday, 28 September 2018 12:55

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