10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED December 31, 2015

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM              TO             .

Commission file number: 0-26680

NICHOLAS FINANCIAL, INC.

(Exact Name of Registrant as Specified in its Charter)

British Columbia, Canada	8736-3354
(State or Other Jurisdiction of Incorporation or Organization)	(I.R.S. Employer Identification No.)

2454 McMullen Booth Road, Building C Clearwater, Florida	33759
(Address of Principal Executive Offices)	(Zip Code)

(727) 726-0763

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 and 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter periods that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No  ¨

Indicate by check mark whether the Registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the Registrant was required to submit and post such files).    Yes  x    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	¨	Accelerated filer	x
Non-accelerated filer	¨	Smaller reporting company	¨

Indicate by checkmark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act)

    Yes  ¨    No  x

As of February 1, 2016, 12,463,285 shares, no par value, of the Registrant were outstanding (of which 4,713,804 shares were held by the Registrant’s principal operating subsidiary and pursuant to applicable law, not entitled to vote and 7,749,481 shares were entitled to vote).

NICHOLAS FINANCIAL, INC.

FORM 10-Q

TABLE OF CONTENTS

Part I.	Financial Information	Page
Item 1.	Financial Statements (Unaudited)
	Consolidated Balance Sheets as of December 31, 2015 and March 31, 2015		2
	Consolidated Statements of Income for the three and nine months ended December 31, 2015 and 2014		3
	Consolidated Statements of Cash Flows for the nine months ended December 31, 2015 and 2014		4
	Notes to the Consolidated Financial Statements		5
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		13
Item 3.	Quantitative and Qualitative Disclosures about Market Risk		21
Item 4.	Controls and Procedures		21
Part II.	Other Information
Item 1.	Legal Proceedings		22
Item 1A.	Risk Factors		22
Item 6.	Exhibits		22

1

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

Nicholas Financial, Inc. and Subsidiaries

Consolidated Balance Sheets

	December 31, 2015 (Unaudited)			March 31, 2015
Assets
Cash	$	3,005,807		$	3,388,193
Finance receivables, net		310,314,093			288,904,060
Assets held for resale		1,931,962			1,746,887
Income taxes receivable		418,597			112,984
Prepaid expenses and other assets		772,283			1,143,754
Property and equipment, net		1,380,234			872,134
Interest rate swap agreements		6,487			—
Deferred income taxes		6,656,941			6,360,579
Total assets	$	324,486,404		$	302,528,591
Liabilities and shareholders’ equity
Line of credit	$	213,000,000		$	199,000,000
Drafts payable		1,999,285			2,475,573
Interest rate swap agreements		59,092			180,775
Accounts payable and accrued expenses		5,638,824			7,841,070
Deferred revenues		3,799,980			3,143,231
Total liabilities		224,497,181			212,640,649
Shareholders’ equity
Preferred stock, no par: 5,000,000 shares authorized; none issued
Common stock, no par: 50,000,000 shares authorized; 12,463,285 and 12,415,785 shares issued, respectively; and 7,749,481 and 7,701,981 shares outstanding, respectively		33,153,177			32,655,130
Treasury stock: 4,713,804 common shares, at cost		(70,459,323	)		(70,408,854	)
Retained earnings		137,295,369			127,641,666
Total shareholders’ equity		99,989,223			89,887,942
Total liabilities and shareholders’ equity	$	324,486,404		$	302,528,591

See accompanying notes.

2

Nicholas Financial, Inc. and Subsidiaries

Consolidated Statements of Income

(Unaudited)

	Three months ended December 31,					Nine months ended December 31,
	2015			2014		2015			2014
Interest and fee income on finance receivables	$	22,757,325		$	21,800,765	$	67,469,297		$	64,856,351
Expenses:
Marketing		384,021			333,813		1,140,326			1,196,069
Salaries and employee benefits		5,539,203			5,100,035		16,623,037			15,441,864
Professional Fees		306,331			314,124		1,131,273			1,124,912
Administrative		2,323,162			2,422,678		7,175,237			7,272,577
Provision for credit losses		7,599,189			5,796,648		18,765,745			15,182,698
Depreciation		120,023			92,070		333,742			276,194
Interest expense		2,310,848			1,457,919		6,750,471			4,391,697
Change in fair value of interest rate swap agreements		(250,798	)		144,999		(128,170	)		105,878
		18,331,979			15,662,286		51,791,661			44,991,889
Operating income before income taxes		4,425,346			6,138,479		15,677,636			19,864,462
Income tax expense		1,698,445			2,368,923		6,023,933			6,856,017
Net income	$	2,726,901		$	3,769,556	$	9,653,703		$	13,008,445
Earnings per share:
Basic	$	0.36		$	0.31	$	1.27		$	1.07
Diluted	$	0.35		$	0.30	$	1.24		$	1.05

See accompanying notes.

3

Nicholas Financial, Inc. and Subsidiaries

Consolidated Statements of Cash Flows

(Unaudited)

	Nine months ended December 31,
	2015			2014
Cash flows from operating activities
Net income	$	9,653,703		$	13,008,445
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation		333,742			276,194
(Gain) loss on sale of property and equipment		(12,247	)		6,691
Provision for credit losses		18,765,745			15,182,698
Amortization of dealer discounts		(9,885,851	)		(10,204,562	)
Deferred income taxes		(296,362	)		270,675
Share-based compensation		416,335			382,883
Change in fair value of interest rate swap agreements		(128,170	)		105,878
Changes in operating assets and liabilities:
Prepaid expenses and other assets		396,471			13,280
Accounts payable and accrued expenses		(2,202,246	)		(2,572,286	)
Income taxes (receivable) and payable		(305,613	)		447,340
Deferred revenues		656,749			574,862
Net cash provided by operating activities		17,392,256			17,492,098
Cash flows from investing activities
Purchase and origination of finance receivables		(131,416,115	)		(119,758,892	)
Principal payments received		101,126,188			101,279,098
Increase in assets held for resale		(185,075	)		(345,644	)
Purchase of property and equipment		(877,677	)		(377,859	)
Proceeds from sale of property and equipment		48,082			58,319
Net cash used in investing activities		(31,304,597	)		(19,144,978	)
Cash flows from financing activities
Net draws on line of credit		14,000,000			2,100,000
Change in drafts payable		(476,288	)		(669,956	)
Payment of debt costs		(25,000	)		—
Expenses related to prior purchase of treasury shares		(50,469	)		—
Proceeds from exercise of stock options		75,946			154,575
Excess tax benefits from share-based compensation		5,766			69,016
Net cash provided by financing activities		13,529,955			1,653,635
Net (decrease) increase in cash		(382,386	)		755
Cash, beginning of period		3,388,193			2,635,036
Cash, end of period	$	3,005,807		$	2,635,791

See accompanying notes.

4

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements

(Unaudited)

1. Basis of Presentation

The accompanying consolidated balance sheet as of March 31, 2015, which has been derived from audited financial statements, and the accompanying unaudited interim consolidated financial statements of Nicholas Financial, Inc. (including its subsidiaries, the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q pursuant to the Securities and Exchange Act of 1934, as amended in Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements, although the Company believes that the disclosures made are adequate to ensure the information is not misleading. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for interim periods are not necessarily indicative of the results that may be expected for the year ending March 31, 2016. It is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and accompanying notes thereto included in the Company’s Annual Report on Form 10-K for the year ended March 31, 2015 as filed with the Securities and Exchange Commission on June 15, 2015. The March 31, 2015 consolidated balance sheet included herein has been derived from the March 31, 2015 audited consolidated balance sheet included in the aforementioned Form 10-K.

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses on finance receivables and the fair value of interest rate swap agreements.

2. Revenue Recognition

Finance receivables consist of automobile finance installment contracts (“Contracts”) and direct consumer loans (“Direct Loans”). Interest income on finance receivables is recognized using the interest method. Accrual of interest income on finance receivables is suspended when a loan enters bankruptcy status, is contractually delinquent for 60 days or more or the collateral is repossessed, whichever is earlier. Chapter 13 bankrupt accounts are accounted for under the cost-recovery method. Interest income on Chapter 13 bankrupt accounts does not resume until all principal amounts are recovered (see Note 4).

A dealer discount represents the difference between the finance receivable, net of unearned interest, of a Contract, and the amount of money the Company actually pays for the Contract. The discount negotiated by the Company is a function of the lender, the wholesale value of the vehicle and competition in any given market. In making decisions regarding the purchase of a particular Contract the Company considers the following factors related to the borrower: place and length of residence; current and prior job status; history in making installment payments for automobiles; current income; and credit history. In addition, the Company examines its prior experience with Contracts purchased from the dealer from which the Company is purchasing the Contract, and the value of the automobile in relation to the purchase price and the term of the Contract. The entire amount of discount is amortized as an adjustment to yield using the interest method over the life of the loan. The average dealer discount associated with new volume for the three months ended December 31, 2015 and 2014 was 7.59% and 8.04%, respectively in relation to the total amount financed. The average dealer discount associated with new volume for the nine months ended December 31, 2015 and 2014 was 7.56% and 8.13%, respectively in relation to the total amount financed.

Gross finance receivables represent principal balance plus unearned income, excluding unearned income from Chapter 13 bankrupt accounts. The amount of future unearned income is computed as the product of the Contract rate, the Contract term, and the Contract amount.

Deferred revenues consist primarily of commissions received from the sale of ancillary products. These products include automobile warranties, roadside assistance programs, accident and health insurance, credit life insurance, and involuntary unemployment insurance. These commissions are amortized over the life of the contract using the interest method.

The Company’s net costs for originating direct loans are recognized as an adjustment to the yield and are amortized over the life of the loan using the interest method.

5

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements (Continued)

(Unaudited)

3. Earnings Per Share

Basic earnings per share is calculated by dividing the reported net income for the period by the weighted average number of shares of common stock outstanding. Diluted earnings per share includes the effect of dilutive options and other share awards. Basic and diluted earnings per share have been computed as follows:

	Three months ended December 31,				Nine months ended December 31,
	2015		2014		2015		2014
Numerator for earnings per share – net income	$	2,726,901	$	3,769,556	$	9,653,703	$	13,008,445
Denominator:
Denominator for basic earnings per share – weighted average shares		7,622,981		12,197,125		7,620,423		12,188,778
Effect of dilutive securities: Stock options and other share awards		148,404		178,214		157,141		183,220
Denominator for diluted earnings per share		7,771,385		12,375,339		7,777,564		12,371,998
Earnings per share:
Basic	$	0.36	$	0.31	$	1.27	$	1.07
Diluted	$	0.35	$	0.30	$	1.24	$	1.05

For the three months ended December 31, 2015 and 2014, potential shares of common stock from stock options totaling 165,000 and 130,870, respectively, were not included in the diluted earnings per share calculation because their effect is anti-dilutive. For the nine months ended December 31, 2015 and 2014, potential shares of common stock from stock options totaling 160,091 and 83,036, respectively, were not included in the diluted earnings per share calculation because their effect is anti-dilutive. Please see Note 10 – “Tender Offer” for information regarding the decrease of the weighted average shares for the three and nine months ended December 31, 2015.

4. Finance Receivables

Finance receivables consist of automobile finance installment Contracts and Direct Loans and are detailed as follows:

	December 31,			March 31,
	2015			2015
Finance receivables, gross contract	$	494,808,526		$	457,974,758
Unearned interest		(153,498,759	)		(139,262,996	)
Finance receivables, net of unearned interest		341,309,767			318,711,762
Unearned dealer discounts		(18,633,833	)		(17,779,690	)
Finance receivables, net of unearned interest and unearned dealer discounts		322,675,934			300,932,072
Allowance for credit losses		(12,361,841	)		(12,028,012	)
Finance receivables, net	$	310,314,093		$	288,904,060

The terms of the Contracts range from 12 to 72 months and the Direct Loans range from 12 to 60 months. The Contracts and Direct Loans bear a weighted average effective interest rate of 22.71% and 25.75% as of December 31, 2015, respectively and 22.86% and 26.14% as of March 31, 2015, respectively.

Finance receivables consist of Contracts and Direct Loans, each of which comprises a portfolio segment. Each portfolio segment consists of smaller balance homogeneous loans which are collectively evaluated for impairment.

6

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements (Continued)

(Unaudited)

4. Finance Receivables (continued)

The following table sets forth a reconciliation of the changes in the allowance for credit losses on Contracts:

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Balance at beginning of period	$	10,953,844		$	11,942,694		$	11,325,222		$	12,889,082
Current period provision		7,437,522			5,658,695			18,402,211			14,799,782
Losses absorbed		(7,583,543	)		(6,948,034	)		(20,453,767	)		(18,844,447	)
Recoveries		694,452			682,830			2,228,609			2,491,768
Balance at end of period	$	11,502,275		$	11,336,185		$	11,502,275		$	11,336,185

The Company purchases Contracts from automobile dealers at a negotiated price that is less than the original principal amount being financed by the purchaser of the automobile. The Contracts are predominately for used vehicles. As of December 31, 2015, the average model year of vehicles collateralizing the portfolio was a 2007 vehicle. The average loan to value ratio, which expresses the amount of the Contract as a percentage of the value of the automobile, is approximately 97%. The Company utilizes a static pool approach to track portfolio performance. If the allowance for credit losses is determined to be inadequate for a static pool, then an additional charge to income through the provision is used to maintain adequate reserves based on management’s evaluation of the risk inherent in the loan portfolio, the composition of the portfolio, and current economic conditions. Such evaluation, considers among other matters, the estimated net realizable value of the underlying collateral, economic conditions, historical loan loss experience, management’s estimate of probable credit losses and other factors that warrant recognition in providing for an adequate allowance for credit losses.

The following table sets forth a reconciliation of the changes in the allowance for credit losses on Direct Loans:

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Balance at beginning of period	$	779,921		$	734,500		$	702,789		$	590,278
Current period provision		161,667			137,953			363,534			382,916
Losses absorbed		(83,454	)		(82,948	)		(223,740	)		(202,063	)
Recoveries		1,432			3,403			16,983			21,777
Balance at end of period	$	859,566		$	792,908		$	859,566		$	792,908

Direct Loans are originated directly between the Company and the consumer. These loans are typically for amounts ranging from $1,000 to $9,000 and are generally secured by a lien on an automobile, watercraft or other permissible tangible personal property. The majority of Direct Loans are originated with current or former customers under the Company’s automobile financing program. The typical Direct Loan represents a significantly better credit risk than our typical Contract due to the customer’s historical payment history with the Company. In deciding whether or not to make a loan, the Company considers the individual’s credit history, job stability, income and impressions created during a personal interview with a Company loan officer. Additionally, because most of Direct Loans made by the Company to date have been made to borrowers under Contracts previously purchased by the Company, the payment history of the borrower under the Contract is a significant factor in making the loan decision. As of December 31, 2015, loans made by the Company pursuant to its Direct Loan program constituted approximately 2% of the aggregate principal amount of the Company’s loan portfolio.

Changes in the allowance for credit losses for both Contracts and Direct Loans were driven by current economic conditions and trends over several reporting periods which are useful in estimating future losses and overall portfolio performance.

7

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements (Continued)

(Unaudited)

4. Finance Receivables (continued)

A performing account is defined as an account that is less than 61 days past due. A non-performing account is defined as an account that is contractually delinquent for 61 days or more and the accrual of interest income is suspended. When an account is 120 days contractually delinquent, the account is written off. Upon notification of a Chapter 13 bankruptcy, an account is monitored for collection with other Chapter 13 bankrupt accounts. In the event the debtors balance has been reduced by the bankruptcy court, the Company will record a loss equal to the amount of principal balance reduction. The remaining balance will be reduced as payments are received by the bankruptcy court. In the event an account is dismissed from bankruptcy, the Company will decide, based on several factors, to begin repossession proceedings or to allow the customer to begin making regularly scheduled payments.

The following table is an assessment of the credit quality by creditworthiness:

	December 31, 2015				December 31, 2014
	Contracts		Direct Loans		Contracts		Direct Loans
Performing accounts	$	467,285,487	$	11,931,941	$	422,592,527	$	11,575,091
Non-performing accounts		11,111,916		100,393		9,284,558		105,818
Total	$	478,397,403	$	12,032,334	$	431,877,085	$	11,680,909
Chapter 13 bankrupt accounts		4,340,698		38,091		3,872,186		26,774
Finance receivables, gross contract	$	482,738,101	$	12,070,425	$	435,749,271	$	11,707,683

The following tables present certain information regarding the delinquency rates experienced by the Company with respect to Contracts and under its Direct Loans, excluding Chapter 13 bankrupt accounts:

Contracts	Gross Balance Outstanding		31 – 60 days			61 – 90 days			Over 90 days			Total
December 31, 2015	$	478,397,403	$	23,970,608		$	7,029,791		$	4,082,125		$	35,082,524
				5.01	%		1.47	%		0.85	%		7.33	%
December 31, 2014	$	431,877,085	$	21,749,891		$	6,103,607		$	3,180,951		$	31,034,449
				5.04	%		1.41	%		0.74	%		7.19	%
Direct Loans	Gross Balance Outstanding		31 – 60 days			61 – 90 days			Over 90 days			Total
December 31, 2015	$	12,032,334	$	211,921		$	63,543		$	36,850		$	312,314
				1.76	%		0.53	%		0.31	%		2.60	%
December 31, 2014	$	11,680,909	$	164,347		$	59,043		$	46,776		$	270,166
				1.40	%		0.51	%		0.40	%		2.31	%

5. Line of Credit

The Company has a line of credit facility (the “Line”) up to $225,000,000. The pricing of the Line, which expires on January 30, 2018, is 300 basis points above 30-day LIBOR with a 1% floor on LIBOR (4.00% at December 31, 2015 and March 31, 2015). Pledged as collateral for this Line are all of the assets of the Company. The outstanding amount of the Line was $213,000,000 and $199,000,000 as of December 31, 2015 and March 31, 2015, respectively. The amount available under the Line was approximately $12,000,000 and $26,000,000 as of December 31, 2015 and March 31, 2015, respectively.

The facility requires compliance with certain financial ratios and covenants and satisfaction of specified financial tests, including maintenance of asset quality and performance tests. Dividends do not require consent in writing by the agent and majority lenders under the new facility as long as the Company is in compliance with a net income covenant. As of December 31, 2015, the Company was in full compliance with all debt covenants.

8

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements (Continued)

(Unaudited)

6. Interest Rate Swap Agreements

The Company utilizes interest rate swap agreements to manage exposure to variability in expected cash flows attributable to interest rate risk. The interest rate swap agreements convert a portion of the floating rate debt to a fixed rate, more closely matching the interest rate characteristics of finance receivables.

As of the nine months ended December 31, 2015 and 2014 no new contracts were initiated and no contracts matured.

The Company currently has two interest rate swap agreements. A June 4, 2012 interest rate swap agreement provides for a five-year interest rate swap in which the Company pays a fixed rate of 1% and receives payments from the counterparty on the 1-month LIBOR rate. This interest rate swap agreement had an effective date of June 13, 2012 and a notional amount of $25,000,000. A July 30, 2012 agreement provides for a five-year interest rate swap in which the Company pays a fixed rate of 0.87% and receives payments from the counterparty on the 1-month LIBOR rate. This interest rate swap agreement had an effective date of August 13, 2012 and a notional amount of $25,000,000.

The locations and amounts of (gains) losses in income are as follows:

	Three months ended December 31,					Nine months ended December 31,
	2015			2014		2015			2014
Periodic change in fair value of interest rate swap agreements	$	(250,798	)	$	144,999	$	(128,170	)	$	105,878
Periodic settlement differentials included in interest expense		89,360			98,517		278,838			297,355
Total	$	(161,438	)	$	243,516	$	150,668		$	403,233

Net realized gains and losses from the interest rate swap agreements were recorded in the interest expense line item of the consolidated statements of income. The following table summarizes the average variable rates received and average fixed rates paid under the swap agreements.

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Variable rate received		0.24	%		0.16	%		0.21	%		0.15	%
Fixed rate paid		0.94	%		0.94	%		0.94	%		0.94	%

7. Income Taxes

The provision for income taxes decreased to approximately $1.7 million for the three months ended December 31, 2015 from approximately $2.4 million for the three months ended December 31, 2014. The Company’s effective tax rate decreased to 38.38% for the three months ended December 31, 2015 from 38.59% for the three months ended December 31, 2014. The provision for income taxes decreased to approximately $6.0 million for the nine months ended December 31, 2015 from approximately $6.9 million for the nine months ended December 31, 2014. The Company’s effective tax rate increased to 38.42% for the nine months ended December 31, 2015 from 34.51% for the nine months ended December 31, 2014. The effective tax rate for the nine months ended December 31, 2014 was unusually low due to certain professional fees totaling approximately $1.2 million associated with the potential sale of the Company becoming deductible during the three months ended June 30, 2014 when the Arrangement Agreement was terminated.

9

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements (Continued)

(Unaudited)

8. Fair Value Disclosures

The Company measures specific assets and liabilities at fair value, which is an exit price, representing the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When applicable, the Company utilizes market data or assumptions that market participants would use in pricing the asset or liability under a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs about which little or no market data exists, therefore requiring an entity to develop its own assumptions.

Assets and Liabilities Recorded at Fair Value on a Recurring Basis

The Company estimates the fair value of interest rate swap agreements based on the estimated net present value of the future cash flows using a forward interest rate yield curve in effect as of the measurement period, adjusted for nonperformance risk, if any, including a quantitative and qualitative evaluation of both the Company’s credit risk and the counterparty’s credit risk. Accordingly, the Company classifies interest rate swap agreements as Level 2.

	Fair Value Measurement Using
Description	Level 1		Level 2			Level 3		Fair Value
Interest rate swap agreements:
December 31, 2015 – asset:	$	—	$	6,487		$	—	$	6,487
December 31, 2015 – liability:	$	—	$	(59,092	)	$	—	$	(59,092	)
March 31, 2015 – liabilities:	$	—	$	(180,775	)	$	—	$	(180,775	)

Financial Instruments Not Measured at Fair Value

The Company’s financial instruments consist of cash, finance receivables and the Line. For finance receivables and the Line- the carrying value approximates fair value.

Finance receivables, net approximates fair value based on the price paid to acquire indirect loans. The price paid reflects competitive market interest rates and purchase discounts for the Company’s chosen credit grade in the economic environment. This market is highly liquid as the Company acquires individual loans on a daily basis from dealers. The initial terms of the Contracts range from 12 to 72 months. The initial terms of the Direct Loans range from 12 to 60 months. In addition, there have been minimal changes in interest rates and purchase discounts related to these types of loans. If liquidated outside of the normal course of business, the amount received may not be the carrying value.

Based on current market conditions, any new or renewed credit facility would contain pricing that approximates the Company’s current Line. Based on these market conditions, the fair value of the Line as of December 31, 2015 was estimated to be equal to the book value. The interest rate for the Line is a variable rate based on LIBOR pricing options.

	Fair Value Measurement Using						Fair
Description	Level 1		Level 2		Level 3		Value
Finance receivables:
December 31, 2015	$	—	$	—	$	310,314,000	$	310,314,000
March 31, 2015	$	—	$	—	$	288,904,000	$	288,904,000
Line of credit:
December 31 , 2015	$	—	$	213,000,000	$	—	$	213,000,000
March 31, 2015	$	—	$	199,000,000	$	—	$	199,000,000

10

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements (Continued)

(Unaudited)

8. Fair Value Disclosures (continued)

Assets and Liabilities Recorded at Fair Value on a Nonrecurring Basis

The Company may be required, from time to time, to measure certain assets and liabilities at fair value on a nonrecurring basis. The Company does not currently have any assets or liabilities measured at fair value on a nonrecurring basis.

9. Contingencies

The Company currently is not a party to any pending legal proceedings other than ordinary routine litigation incidental to its business, none of which, if decided adversely to the Company, would, in the opinion of management, have a material adverse effect on the Company’s financial condition or results of operations.

10. Tender Offer

On March 19, 2015, the Company announced the final results of the modified “Dutch auction” tender offer for the purchase of approximately 4.7 million shares of the Company’s common shares by its principal operating subsidiary. The tender offer expired on March 13, 2015. Total payments for common shares, including costs were approximately $70,459,000. Such costs were recorded as an increase to treasury stock, reducing shareholders’ equity.

The aggregate number of common shares purchased in the tender offer by Nicholas represented approximately 38.0% of the Company’s outstanding common shares as of March 17, 2015. Following settlement of the tender offer, the Company had approximately 7,701,981 common shares outstanding.

11. Recently Issued Accounting Standards

In January 2016, the FASB issued ASU No. 2016-01, “Financial Instruments—Recognition and Measurement of Financial Assets and Liabilities,” which is intended to improve the recognition and measurement of financial instruments by requiring: equity investments (other than equity method or consolidation) to be measured at fair value with changes in fair value recognized in net income; public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (i.e., securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; eliminating the requirement to disclose the fair value of financial instruments measured at amortized cost for organizations that are not public business entities; eliminating the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; and requiring a reporting organization to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk (also referred to as “own credit”) when the organization has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. This ASU is effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. This ASU permits early adoption of the instrument-specific credit risk provision. Management is still currently evaluating the impact of the pending adoption of this ASU on the Company’s Consolidated Condensed Financial Statements.

In April 2015, the FASB issued ASU No. 2015-03, “Interest—Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The amendments in this ASU require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. In August 2015, the FASB issued ASU No. 2015-15, since 2015-03 did not address presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements. The SEC staff indicated they would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption of the amendments is permitted.The Company does not believe the adoption of this ASU will have a significant impact on the consolidated financial statements.

11

Nicholas Financial, Inc. and Subsidiaries

Notes to the Consolidated Financial Statements (Continued)

(Unaudited)

11. Recently Issued Accounting Standards (continued)

In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”. The ASU requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The standard permits the use of either the retrospective or cumulative effect transition method. On July 9, 2015, the FASB approved the deferral of the effective date of ASU 2014-09 by one year. As a result, ASU 2014-09 will be effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. The ASU would permit public entities to adopt the ASU early, but not before the original effective date (i.e., annual periods beginning after December 15, 2016). Management has not yet selected a transition method and is currently evaluating the impact of the pending adoption of this ASU on the Company’s Consolidated Condensed Financial Statements.

The Company does not believe there are any other recently issued accounting standards that have not yet been adopted that will have a material impact on the Company’s consolidated financial statements.

12

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Forward-Looking Information

This report on Form 10-Q contains various statements, other than those concerning historical information, that are based on management’s beliefs and assumptions, as well as information currently available to management, and should be considered forward-looking statements. This notice is intended to take advantage of the safe harbor provided by the Private Securities Litigation Reform Act of 1995 with respect to such forward-looking statements. When used in this document, the words “anticipate”, “estimate”, “expect”, and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Such statements are subject to certain risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or expected. Among the key factors that may have a direct bearing on the Company’s operating results are fluctuations in the economy, the ability to access bank financing, the degree and nature of competition, demand for consumer financing in the markets served by the Company, the Company’s products and services, increases in the default rates experienced on Contracts, adverse regulatory changes in the Company’s existing and future markets, the Company’s ability to expand its business, including its ability to complete acquisitions and integrate the operations of acquired businesses, to recruit and retain qualified employees, to expand into new markets and to maintain profit margins in the face of increased pricing competition. All forward looking statements included in this report are based on information available to the Company on the date hereof, and the Company assumes no obligations to update any such forward looking statement. You should also consult factors described from time to time in the Company’s filings made with the Securities and Exchange Commission, including its reports on Forms 10-K, 10-Q, 8-K and annual reports to shareholders.

Litigation and Legal Matters

See “Item 1. Legal Proceedings” in Part II of this quarterly report below.

Regulatory Developments

As previously reported, Title X of the Dodd-Frank Act established the Consumer Financial Protection Bureau (“CFPB”), which became operational on July 21, 2011. Under the Dodd-Frank Act, the CFPB has regulatory, supervisory and enforcement powers over providers of consumer financial products, such as Contracts and the Direct Loans that we offer, including explicit supervisory authority to examine and require registration of installment lenders such as ourselves. Included among the powers afforded to the CFPB is the authority to adopt rules describing specified acts and practices as being “unfair,” “deceptive” or “abusive,” and hence unlawful. Although the Dodd-Frank Act expressly provides that the CFPB has no authority to establish usury limits, some consumer advocacy groups have suggested that certain forms of alternative consumer finance products, such as installment loans, should be a regulatory priority and it is possible that at some time in the future the CFPB could propose and adopt rules making such lending or other products that we may offer materially less profitable or impractical. Further, the CFPB may target specific features of loans by rulemaking that could cause us to cease offering certain products. Any such rules could have a material adverse effect on our business, results of operation and financial condition. The CFPB could also adopt rules imposing new and potentially burdensome requirements and limitations with respect to any of our current or future lines of business, which could have a material adverse effect on our operations and financial performance.

The CFPB recently issued rules regarding the supervision and examination of non-depository “larger participants” in the automobile finance business, including us. Since we are deemed a larger participant, we are subject to supervision and examination by the CFPB. The CFPB’s stated objectives of such examinations are: to assess the quality of a larger participant’s compliance management systems for preventing violations of federal consumer financial laws; to identify acts or practices that materially increase the risk of violations of federal consumer finance laws and associated harm to consumers; and to gather facts that help determine whether the larger participant engages in acts or practices that are likely to violate federal consumer financial laws in connection with its automobile finance business. Thus, as a larger participant, we will be subject to examination by the CFPB for, among other things, ECOA compliance; unfair, deceptive or abusive acts or practices (“UDAAP”) compliance; and the adequacy of our compliance management systems.

Critical Accounting Policy

The Company’s critical accounting policy relates to the allowance for credit losses. It is based on management’s opinion of an amount that is adequate to absorb incurred losses in the existing portfolio. The allowance for credit losses is established through a provision for losses based on management’s evaluation of the risk inherent in the loan portfolio, the composition of the portfolio, and

13

current economic conditions. Such evaluation, considers among other matters, the estimated net realizable value of the underlying collateral, economic conditions, historical loan loss experience, management’s estimate of probable credit losses and other factors that warrant recognition in providing for an adequate credit loss allowance.

Because of the nature of the customers under the Company’s Contracts and its Direct Loans, the Company considers the establishment of adequate reserves for credit losses to be imperative. The Company segregates its Contracts into static pools for purposes of establishing reserves for losses. All Contracts purchased by a branch during a fiscal quarter comprise a static pool. The Company pools Contracts according to branch location because the branches purchase Contracts in different geographic markets. This method of pooling by branch and quarter allows the Company to evaluate the different markets where the branches operate. The pools also allow the Company to evaluate the different levels of customer income, stability, credit history, and the types of vehicles purchased in each market. Each such static pool consists of the Contracts purchased by a branch office during the fiscal quarter.

Contracts are purchased from many different dealers and are all purchased on an individual Contract by Contract basis. Individual Contract pricing is determined by the automobile dealerships and is generally the lesser of state maximum interest rates or the maximum interest rate the customer will accept. In certain markets, competitive forces will drive down Contract rates from the maximum rate to a level where an individual competitor is willing to buy an individual Contract. The Company only buys Contracts on an individual basis and never purchases Contracts in batches, although the Company may consider portfolio acquisitions as part of its growth strategy.

The Company has detailed underwriting guidelines it utilizes to determine which Contracts to purchase. These guidelines are specific and are designed to cause all of the Contracts that the Company purchases to have common risk characteristics. The Company utilizes its District Managers to evaluate their respective branch locations for adherence to these underwriting guidelines. The Company also utilizes an internal audit department to assure adherence to its underwriting guidelines. The Company utilizes the branch model, which allows for Contract purchasing to be done on the branch level. Each Branch Manager may interpret the guidelines differently, and as a result, the common risk characteristics tend to be the same on an individual branch level but not necessarily compared to another branch.

The allowance for loan losses is established through charges to earnings through the provision for credit losses. The allowance for credit losses is maintained at an amount that reduces the net carrying amount of finance receivables for probable incurred losses. If a static pool is fully liquidated and has any remaining reserves, the excess provision is immediately reversed during the period. For static pools that are not fully liquidated that are deemed to have excess reserves, such amounts are reversed against provision for credit losses during the period.

In analyzing a static pool, the Company considers the performance of prior static pools originated by the branch office, the performance of prior Contracts purchased from the dealers whose Contracts are included in the current static pool, the credit rating of the customers under the Contracts in the static pool, and current market and economic conditions. Each static pool is analyzed monthly to determine if the loss reserves are adequate, and adjustments are made if they are determined to be necessary.

Introduction

Diluted net earnings increased 17% to $0.35 as compared to $0.30 for the three months ended December 31, 2014. Net earnings were $2,727,000 and $3,770,000 for the three months ended December 31, 2015 and 2014, respectively. Revenue increased 4% to $22,757,000 for the three months ended December 31, 2015 as compared to $21,801,000 for the three months ended December 31, 2014.

For the nine months ended December 31, 2015, per share diluted net earnings increased 18% to $1.24 as compared to $1.05 for the nine months ended December 31, 2014. Net earnings were $9,654,000 and $13,008,000 for the nine months ended December 31, 2015 and 2014, respectively. Revenue increased 4% to $67,469,000 for the nine months ended December 31, 2015 as compared to $64,856,000 for the nine months ended December 31, 2014.

Our net earnings for the three months ended December 31, 2015 were adversely affected by a reduction in the gross portfolio yield, an increase in interest expense and an increase in the provision for credit losses. Gross portfolio yield and provision for credit losses changes were primarily the result of increased competition. Our net earnings were positively affected by a reduction in operating expenses as a percentage of net finance receivables and were also favorably impacted by a change in the fair value of our interest rate swap agreements. The interest rate swap agreements resulted in a pre-tax gain of $251,000 for the three-month period ended December 31, 2015 compared to a pre-tax loss of $145,000 for the comparable three-month period ended December 31, 2014. Our per share diluted net earnings for the three months ended December 31, 2015, were positively impacted by the Company’s purchase of 4.7 million of the Company’s common shares by its principal operating subsidiary on March 19, 2015.

14

Our net earnings for the nine months ended December 31, 2015 were adversely affected by a reduction in the gross portfolio yield, an increase in interest expense and an increase in the provision for credit losses. Gross portfolio yield and provision for credit losses changes were primarily the result of increased competition.Our net earnings were positively affected by a reduction in operating expenses as a percentage of net finance receivables and were also favorably impacted by a change in the fair value of our interest rate swap agreements. The interest rate swap agreements resulted in a pre-tax gain of $128,000 for the nine-month period ended December 31, 2015 compared to a pre-tax loss of $106,000 for the comparable nine-month period ended December 31, 2014. Our per share diluted net earnings for the nine months ended December 31, 2015, were positively impacted by the Company’s purchase of 4.7 million of the Company’s common shares by its principal operating subsidiary on March 19, 2015. Results for the nine months ended December 31, 2014 were also positively affected by a decrease in income tax expense of $804,000 or $0.07 per share. This reduction related to professional fees associated with the previously announced potential sale of the Company that were not initially deductible for income tax purposes, but became deductible as a result of the termination of the Arrangement Agreement as announced on July 1, 2014.

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Portfolio Summary
Average finance receivables, net of unearned interest (1) Average Net Finance Receivables (1)	$	340,306,851		$	310,882,006		$	333,005,943		$	308,351,789
Average indebtedness (2)	$	212,684,576		$	130,112,500		$	207,071,567		$	130,580,000
Interest and fee income on finance receivables	$	22,757,326		$	21,800,764		$	67,469,297		$	64,851,435
Interest expense		2,310,848			1,457,919			6,750,471			4,391,697
Net interest and fee income on finance receivables	$	20,446,478		$	20,342,845		$	60,718,826		$	60,459,738
Weighted average contractual rate (3)		22.78	%		23.02	%		22.78	%		23.02	%
Average cost of borrowed funds (2)		4.35	%		4.48	%		4.35	%		4.48	%
Gross portfolio yield (4)		26.75	%		28.05	%		27.01	%		28.04	%
Interest expense as a percentage of average finance receivables, net of unearned interest		2.72	%		1.88	%		2.70	%		1.90	%
Provision for credit losses as a percentage of average finance receivables, net of unearned interest		8.93	%		7.46	%		7.51	%		6.57	%
Net portfolio yield (4)		15.10	%		18.71	%		16.80	%		19.57	%
Marketing, salaries, employee benefits, depreciation, administrative and professional fee expenses as a percentage of average finance receivables, net of unearned interest (5)		10.19	%		10.63	%		10.57	%		10.94	%
Pre-tax yield as a percentage of average finance receivables, net of unearned interest (6)		4.91	%		8.08	%		6.23	%		8.63	%
Write-off to liquidation (7)		10.31	%		9.60	%		8.99	%		8.38	%
Net charge-off percentage (8)		8.19	%		8.16	%		7.38	%		7.15	%

Note: All three-month and nine-month key performance indicators expressed as percentages have been annualized.

(1) Average finance receivables, net of unearned interest, represents the average of gross finance receivables, less unearned interest throughout the period.

(2) Average indebtedness represents the average outstanding borrowings under the Line. Average cost of borrowed funds represents interest expense as a percentage of average indebtedness.

(3) Weighted average contractual rate represents the weighted average annual percentage rate (“APR”) of all Contracts and Direct Loans as of the period ending date.

(4) Gross portfolio yield represents finance revenues as a percentage of average finance receivables, net of unearned interest. Net portfolio yield represents finance revenue minus (a) interest expense and (b) the provision for credit losses as a percentage of average finance receivables, net of unearned interest.

(5) The numerator for the nine-month period ended December 31, 2014 includes expenses associated with the potential sale of the Company. Absent these expenses, the percentage would have been 10.79%.

(6) Pre-tax yield represents net portfolio yield minus administrative expenses (marketing, salaries, employee benefits, depreciation, administrative, and professional fees) as a percentage of average finance receivables, net of unearned interest.

15

(7) Write-off to liquidation percentage is defined as net charge-offs divided by liquidation. Liquidation is defined as beginning gross receivable balance plus current period purchases minus voids and refinances minus ending gross receivable balance.

(8) Net charge-off percentage represents net charge-offs divided by average finance receivables, net of unearned interest, outstanding during the period.

Three months ended December 31, 2015 compared to three months ended December 31, 2014

Interest Income and Loan Portfolio

Interest and fee income on finance receivables, predominately finance charge income, increased 4.6% to approximately $22.8 million for the three-month period ended December 31, 2015 from $21.8 million for the corresponding period ended December 31, 2014. Average finance receivables, net of unearned interest equaled approximately $340.3 million for the three-month period ended December 31, 2015, an increase of 9.5% from $310.9 million for the corresponding period ended December 31, 2014. The primary reason average finance receivables, net of unearned interest increased was the increase of the receivable base of several existing branches in younger markets (see “Contract Procurement” and “Loan Origination” below). The gross finance receivable balance increased 10.6% to approximately $494.8 million as of December 31, 2015, from $447.5 million as of December 31, 2014. The primary reason interest income increased was the increase in the outstanding loan portfolio. The gross portfolio yield decreased to 26.75% for the three-month period ended December 31, 2015 compared to 28.05% for the three-month period ended December 31, 2014. The gross portfolio yield decreased primarily due to the decrease in the average dealer discount and a decrease in the average APR, which is primarily the result of increased competition. The average dealer discount associated with new volume for the three months ended December 31, 2015 and 2014 was 7.59% and 8.04%, respectively in relation to the total amount financed. The net portfolio yield decreased to 15.10% for the three-month period ended December 31, 2015 from 18.71% for the corresponding period ended December 31, 2014. The net portfolio yield decreased due to a decrease in the gross portfolio yield, an increase in the provision for credit losses, and an increase in interest expense (see “Analysis of Credit Losses” and “Interest Expense” below).

Marketing, Salaries, Employee Benefits, Depreciation, Administrative, and Professional Fee Expenses

Marketing, salaries, employee benefits, depreciation, administrative, and professional fee expenses increased to approximately $8.7 million for the three-month period ended December 31, 2015 from approximately $8.3 million for the corresponding period ended December 31, 2014. The increase was primarily related to an increase in costs associated with maintaining the finance receivable portfolio. The Company increased average headcount to 340 for the three-month period ended December 31, 2015 from 331 for the three-month period ended December 31, 2014. Marketing, salaries, employee benefits, depreciation, administrative, and professional fee expenses as a percentage of finance receivables, net of unearned interest, decreased to 10.19% for the three-month period ended December 31, 2015 from 10.63% for the three-month period ended December 31, 2014.

Interest Expense

Interest expense increased to approximately $2.3 million for the three-month period ended December 31, 2015 from $1.5 million for the three-month period ended December 31, 2014. The following table summarizes the Company’s average cost of borrowed funds:

	Three months ended December 31,
	2015			2014
Variable interest under the line of credit facility		0.39	%		0.33	%
Settlements under interest rate swap agreements		0.17	%		0.30	%
Credit spread under the line of credit facility		3.79	%		3.85	%
Average cost of borrowed funds		4.35	%		4.48	%

The Company’s average cost of funds decreased mostly due to the interest rate swap agreements not increasing proportionately to total average debt as of December 31, 2015 as compared to December 31, 2014. The total average debt increased in March 2015 due to the tender offer. LIBOR rates have also increased, which has caused the credit spread to decrease and the variable interest to increase. The variable interest rate also includes a decrease in the unused line fees offset with an increase in amortized debt fees.

The notional amount of interest rate swap agreements was $50.0 million at a weighted average fixed rate of 0.94% for each of the three-month periods ended December 31, 2015 and 2014. For further discussions regarding the effect of interest rate swap agreements see Note 6 – “Interest Rate Swap Agreements”.

16

Nine months ended December 31, 2015 compared to nine months ended December 31, 2014

Interest Income and Loan Portfolio

Interest and fee income on finance receivables, predominately finance charge income, increased 4.0% to approximately $67.5 million for the nine-month period ended December 31, 2015 from $64.9 million for the corresponding period ended December 31, 2014. Average finance receivables, net of unearned interest equaled approximately $333.0 million for the nine-month period ended December 31, 2015, an increase of 8.0% from $308.4 million for the corresponding period ended December 31, 2014. The primary reason average finance receivables, net of unearned interest increased was the increase of the receivable base of several existing branches in younger markets (see “Contract Procurement” and “Loan Origination” below). The gross finance receivable balance increased 10.6% to approximately $494.8 million as of December 31, 2015, from $447.5 million as of December 31, 2014. The primary reason interest income increased was the increase in the outstanding loan portfolio. The gross portfolio yield decreased to 27.01% for the nine-month period ended December 31, 2015 compared to 28.04% for the nine-month period ended December 31, 2014. The gross portfolio yield decreased primarily due to the decrease in the average dealer discount and a decrease in the average APR, which is primarily the result of increased competition. The average dealer discount associated with new volume for the nine months ended December 31, 2015 and 2014 was 7.56% and 8.13%, respectively in relation to the total amount financed. The net portfolio yield decreased to 16.80% for the nine-month period ended December 31, 2015 from 19.57% for the corresponding period ended December 31, 2014. The net portfolio yield decreased due to a decrease in the gross portfolio yield, an increase in the provision for credit losses, and an increase in interest expense (see “Analysis of Credit Losses” and “Interest Expense” below).

Marketing, Salaries, Employee Benefits, Depreciation, Administrative, and Professional Fee Expenses

Marketing, salaries, employee benefits, depreciation, administrative, and professional fee expenses increased to approximately $26.4 million for the nine-month period ended December 31, 2015 from approximately $25.3 million for the corresponding period ended December 31, 2014. The increase was primarily related to an increase in costs associated with maintaining the finance receivable portfolio. The Company increased average headcount to 339 for the nine-month period ended December 31, 2015 from 328 for the nine-month period ended December 31, 2014. Marketing, salaries, employee benefits, depreciation, administrative, and professional fee expenses as a percentage of finance receivables, net of unearned interest, decreased to 10.57% for the nine-month period ended December 31, 2015 from 10.94% for the nine-month period ended December 31, 2014. The nine months ended December 31, 2014 calculation includes expenses associated with the potential sale of the Company. Absent these expenses, the percentage would have been 10.79%.

Interest Expense

Interest expense increased to approximately $6.8 million for the nine-month period ended December 31, 2015 from $4.4 million for the nine-month period ended December 31, 2014. The following table summarizes the Company’s average cost of borrowed funds:

	Nine months ended December 31,
	2015			2014
Variable interest under the line of credit facility		0.36	%		0.31	%
Settlements under interest rate swap agreements		0.18	%		0.30	%
Credit spread under the line of credit facility		3.81	%		3.87	%
Average cost of borrowed funds		4.35	%		4.48	%

The Company’s average cost of funds decreased mostly due to the interest rate swap agreements not increasing proportionately to total average debt as of December 31, 2015 as compared to December 31, 2014. The total average debt increased in March 2015 due to the tender offer. LIBOR rates have also increased, which has caused the credit spread to decrease and the variable interest to increase. The variable interest rate also includes a decrease in the unused line fees offset with an increase in amortized debt fees.

The notional amount of interest rate swap agreements was $50.0 million at a weighted average fixed rate of 0.94% for each of the nine-month periods ended December 31, 2015 and 2014. For further discussions regarding the effect of interest rate swap agreements see Note 6 – “Interest Rate Swap Agreements”.

17

Contract Procurement

The Company purchases Contracts in the seventeen states listed in the table below. The Contracts purchased by the Company are predominately for used vehicles; for the three- and nine-month periods ended December 31, 2015 and 2014, less than 1% were for new vehicles.

The following tables present selected information on Contracts purchased by the Company, net of unearned interest.

	Three months ended December 31,				Nine months ended December 31,
State	2015		2014		2015		2014
FL	$	12,002,478	$	12,479,607	$	42,533,294	$	40,126,531
GA		3,780,927		4,406,896		13,745,246		13,890,638
NC		3,636,266		3,415,112		10,785,173		11,313,314
SC		1,255,546		738,420		4,768,997		2,701,344
OH		5,254,303		5,788,850		19,076,315		17,486,943
MI		2,149,302		2,043,383		5,634,218		5,465,002
VA		989,475		848,809		3,500,305		3,513,891
IN		2,106,307		1,649,495		6,367,763		5,435,903
KY		1,895,726		2,421,467		6,600,671		6,912,724
MD		482,664		797,697		2,046,591		3,133,351
AL		932,507		1,710,827		4,465,438		4,647,562
TN		1,439,404		1,289,402		4,824,247		3,696,904
IL		1,651,512		1,925,892		6,191,599		4,402,104
MO		1,671,979		1,688,515		6,129,249		5,275,282
KS		762,417		563,344		2,182,603		1,412,568
TX		1,487,738		64,833		3,210,627		64,833
WI		106,759		—		106,759		—
Total	$	41,605,310	$	41,832,549	$	142,169,095	$	129,478,894

	Three months ended December 31,						Nine months ended December 31,
Contracts	2015			2014			2015			2014
Purchases	$	41,605,310		$	41,832,549		$	142,169,095		$	129,478,894
Weighted APR		22.55	%		22.77	%		22.66	%		22.95	%
Average discount		7.59	%		8.04	%		7.56	%		8.13	%
Weighted average term (months)		56			55			56			55
Average loan	$	11,346		$	11,041		$	11,363		$	11,005
Number of Contracts		3,667			3,789			12,512			11,765

Loan Origination

The following table presents selected information on Direct Loans originated by the Company, net of unearned interest.

	Three months ended December 31,						Nine months ended December 31,
Direct Loans Originated	2015			2014			2015			2014
Originations	$	2,785,776		$	2,665,407		$	7,962,767		$	7,696,461
Weighted APR		25.89	%		26.25	%		25.84	%		26.57	%
Weighted average term (months)		30			28			29			29
Average loan	$	3,526		$	3,357		$	3,568		$	3,473
Number of loans		790			794			2,232			2,216

18

Analysis of Credit Losses

As of December 31, 2015, the Company had 1,447 active static pools. The average pool upon inception consisted of 63 Contracts with aggregate finance receivables, net of unearned interest, of approximately $692,488.

The Company anticipates losses absorbed as a percentage of liquidation (see note 7 in the Portfolio Summary table on page 15 for the definition of write-off to liquidation) will be in the 8%-12% range during the remainder of the current fiscal year; however, no assurances can be given that the actual losses absorbed may not be higher as a result of continued fierce competition. The longer-term outlook for portfolio performance will depend largely on the competition. Other indicators include the overall economic conditions, the unemployment rate, repossessed car resale rates, and the price of oil which impacts the cost of gasoline, food and many other items used or consumed by the average person. Also, the Company’s ability to monitor, manage and implement its underwriting philosophy in additional geographic areas as it strives to continue its expansion will impact future portfolio performance. The Company does not believe there have been any significant changes in loan concentrations; however, the weighted average term increased to 56 months from 55 months of Contracts purchased during the three and nine months ended December 31, 2015 as compared to the three and nine months ended December 31, 2014.

The provision for credit losses increased to approximately $7.6 million from approximately $5.8 million for the three months ended December 31, 2015 and 2014, respectively. The provision for credit losses increased to approximately $18.8 million from approximately $15.2 million for the nine months ended December 31, 2015 and 2014, respectively. The Company has experienced favorable variances between projected write-offs and actual write-offs on many seasoned pools which has resulted in an increase in expected future cash flows. However, due to increased competition in more recent periods, the percentage of loans acquired that are categorized in the lower tiers of the Company’s guidelines has increased Static pools originated during fiscal 2016 and 2015, while still performing at acceptable net charge-off levels, have experienced losses higher than static pools originated in previous years. Consequently, if this trend continues, the Company would expect the provision for credit losses to remain higher for future static pools. Accordingly, the amount of additional provision necessary to maintain an adequate allowance to absorb incurred losses in the existing portfolio was greater than the provision compared to the three and nine months ended December 31, 2014. The Company’s losses as a percentage of liquidation increased to 10.31% from 9.60% for the three months ended December 31, 2015 and 2014, respectively. The Company’s losses as a percentage of liquidation increased to 8.99% from 8.38% for the nine months ended December 31, 2015 and 2014, respectively. The Company has also experienced increased losses in part due to a decrease in auction proceeds from repossessed vehicles, and an increase in our advance rates. These proceeds are dependent upon several variables including the general market for repossessed vehicles. During the three months ended December 31, 2015 and 2014, auction proceeds from the sale of repossessed vehicles averaged approximately 40% and 44%, respectively, of the related principal balance. During the nine months ended December 31, 2015 and 2014, auction proceeds from the sale of repossessed vehicles averaged approximately 43% and 46%, respectively, of the related principal balance.

The Company considers competition and its effect on loss rates as the largest driver of the loss reserve levels; however, the Company also considers the following factors to assist in determining the appropriate loss reserve levels: unemployment rates; the number of bankruptcy filings; the results of internal branch audits; consumer sentiment; consumer spending; economic growth (i.e., changes in GDP); the condition of the housing sector; and other leading economic indicators. The Company continues to evaluate reserve levels on a pool-by-pool basis during each reporting period. The longer-term outlook for portfolio performance will depend on overall economic conditions, the unemployment rate, the rational or irrational behavior of the Company’s competitors, and the Company’s ability to monitor, manage and implement its underwriting philosophy in additional geographic areas as it strives to continue its expansion.

The delinquency percentage for Contracts more than thirty days past due as of December 31, 2015 was 7.33% as compared to 7.19% as of December 31, 2014. The delinquency percentage for Direct Loans more than thirty days past due as of December 31, 2015 was 2.60% as compared to 2.31% as of December 31, 2014. See Note 4 – “Finance Receivables” for changes in allowance for credit losses, credit quality and delinquencies. Such increases in the delinquency percentage for Contracts and the losses as a percentage of liquidation were contemplated in determining the appropriate reserve levels, particularly for less seasoned pools.

Recoveries as a percentage of charge-offs decreased to approximately 9.08% for the three months ended December 31, 2015 from approximately 9.77% for the three months ended December 31, 2014. Recoveries as a percentage of charge-offs decreased to approximately 10.86% for the nine months ended December 31, 2015 from approximately 13.20% for the nine months ended December 31, 2014. Historically, recoveries as a percentage of charge-offs fluctuate from period to period, and the Company does not attribute this decrease to any particular change in operational strategy or economic event. From time to time the Company will aggregate charge-off accounts, it deems uncollectable, and sell them to third party recovery specialists.

19

In accordance with our policies and procedures, certain borrowers qualify for, and the Company offers, one-month principal payment deferrals on Contracts and Direct Loans. For the three months ended December 31, 2015 and December 31, 2014 the Company granted deferrals to approximately 6.26% and 6.98%, respectively, of total Contracts and Direct Loans. For the nine months ended December 31, 2015 and December 31, 2014 the Company granted deferrals to approximately 17.78% and 18.02%, respectively, of total Contracts and Direct Loans. The number of deferrals is influenced by portfolio performance, general economic conditions and the unemployment rate.

Income Taxes

The provision for income taxes decreased to approximately $1.7 million for the three months ended December 31, 2015 from approximately $2.4 million for the three months ended December 31, 2014. The Company’s effective tax rate decreased to 38.38% for the three months ended December 31, 2015 from 38.59% for the three months ended December 31, 2014. The provision for income taxes decreased to approximately $6.0 million for the nine months ended December 31, 2015 from approximately $6.9 million for the nine months ended December 31, 2014. The Company’s effective tax rate increased to 38.42% for the nine months ended December 31, 2015 from 34.51% for the nine months ended December 31, 2014. The effective tax rate for the nine months ended December 31, 2014 was unusually low due to certain professional fees totaling approximately $1.2 million associated with the potential sale of the Company becoming deductible during the three months ended June 30, 2014 when the Arrangement Agreement was terminated.

Liquidity and Capital Resources

The Company’s cash flows are summarized as follows:

	Nine months ended December 31,
	2015			2014
Cash provided by (used in):
Operating activities	$	17,392,256		$	17,492,098
Investing activities (primarily purchase of Contracts)		(31,304,597	)		(19,144,978	)
Financing activities		13,529,955			1,653,635
Net (decrease) increase in cash	$	(382,386	)	$	755

The Company’s primary use of working capital during the nine months ended December 31, 2015, was the funding of the purchase of Contracts which are financed substantially through cash from principal payments received and cash from operations in addition to borrowings on the Line. The Line is secured by all of the assets of the Company and has a maturity date of January 31, 2018. The Company may borrow up to $225.0 million. Borrowings under the Line may be under various LIBOR pricing options plus 300 basis points with a 1% floor on LIBOR. As of December 31, 2015, the amount outstanding under the Line was approximately $213 million, and the amount available under the Line was approximately $12 million.

The Company will continue to depend on the availability of the Line, together with cash from operations, to finance future operations. Amounts outstanding under the Line have increased by approximately $14 million during the nine months ended December 31, 2015. The increase of the Line is principally related to the fact that cash needed to fund new contracts exceeded cash received from operations. The amount of debt the Company incurs from time to time under these financing mechanisms depends on the Company’s need for cash and ability to borrow under the terms of the Line. The Company believes that borrowings available under the Line as well as cash flow from operations will be sufficient to meet its short-term funding needs. The Line requires compliance with certain debt covenants including financial ratios, asset quality and other performance tests. The Company is in compliance with all of its debt covenants.

Contractual Obligations

The following table summarizes the Company’s material obligations as of December 31, 2015.

	Payments Due by Period
	Total		Less than 1 year		1 to 3 years		3 to 5 years		More than 5 years
Operating leases	$	5,170,637	$	1,913,566	$	2,556,570	$	700,501	$	—
Line of credit		213,000,000		—		213,000,000		—		—
Interest on Line1		19,303,125		9,265,500		10,037,625		—		—
Total	$	237,473,762	$	11,179,066	$	225,594,195	$	700,501	$	—

20

1. The Company’s Line matures on January 30, 2018. Interest on outstanding borrowings under the Line as of December 31, 2015, is based on an effective interest rate of 4.35% which includes the estimated effect of the interest rate swap agreements settlements through the maturity date. The effective interest rate used in the above table does not contemplate the possibility of entering into interest rate swap agreements in the future.

Future Expansion

The Company currently operates a total of 66 branch locations in sixteen states, including twenty in Florida; eight in Ohio; six in North Carolina and Georgia; three in Kentucky, Indiana, Missouri, Michigan, Illinois; two in Alabama, Virginia, Tennessee, and South Carolina; and one each in Maryland, Kansas, and Texas. Each office is budgeted (size of branch, number of employees and location) to handle up to 1,000 accounts and up to $7.5 million in gross finance receivables. To date, thirty-four of our branches meet this capacity. During this fiscal year the Company became licensed in Pennsylvania and Wisconsin, however no branch locations have been established within these states. We began purchasing contracts in Wisconsin in October 2015; and in Pennsylvania in January 2016We also continue developing in Texas and plan to open a full service branch location in Dallas prior to March 31, 2016. The Company continues to evaluate potential new markets, however, as a result of continued intense competition; the Company is currently evaluating the long-term sustainability of its current branch-based model. The Company has been experiencing declines in its gross portfolio yield, and if such declines continue into future periods, the Company may restructure its operations in an effort to reduce operating expenses. The likelihood of any material changes in which the Company operates will be evaluated over the next several quarters.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market risks relating to the Company’s operations result primarily from changes in interest rates. The Company does not engage in speculative or leveraged transactions, nor does it hold or issue financial instruments for trading purposes.

Interest rate risk

Management’s objective is to minimize the cost of borrowing through an appropriate mix of fixed and floating rate debt. Derivative financial instruments, such as interest rate swap agreements, may be used for the purpose of managing fluctuating interest rate exposures that exist from ongoing business operations. The Company does not use interest rate swap agreements for speculative purposes. As of December 31, 2015, $163,000,000, or approximately 76.5% of our total debt, was subject to floating interest rates; however, due to a 1% floor on the debt these rates are effectively fixed until the variable rates exceed this threshold. As a result, a hypothetical increase in the variable interest rates of 1% or 100 basis points (1.4295% as of December 31, 2015) as of December 31, 2015 applicable to this floating rate debt would have an annual after-tax increase of interest expense of approximately $255,000.

ITEM 4. CONTROLS AND PROCEDURES

Evaluation of disclosure controls and procedures. In accordance with Rule 13a-15(b) of the Securities Exchange Act of 1934 (the “Exchange Act”), as of the end of the period covered by this Quarterly Report on Form 10-Q, the Company’s management evaluated, with the participation of the Company’s President and Chief Executive Officer and Vice President and Chief Financial Officer, the effectiveness of the design and operation of the Company’s disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act). Based upon their evaluation of these disclosure controls and procedures, the President and Chief Executive Officer and the Vice President and Chief Financial Officer have concluded that the disclosure controls and procedures were effective as of the date of such evaluation to ensure that material information relating to the Company, including its consolidated subsidiaries, was made known to them by others within those entities, particularly during the period in which this Quarterly Report on Form 10-Q was being prepared.

Changes in internal controls. There have been no changes in the Company’s internal control over financial reporting that occurred during the Company’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

21

PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

The Company currently is not a party to any pending legal proceedings other than ordinary routine litigation incidental to its business, none of which, if decided adversely to the Company, would, in the opinion of management, have a material adverse effect on the Company’s financial condition or results of operations.

ITEM 1A. RISK FACTORS

In addition to the other information set forth in this report, you should carefully consider the factors discussed in Part I “Item 1A. Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended March 31, 2015, which could materially affect our business, financial condition or future results. The risks described in the Form 10-K are not the only risks facing the Company. Additional risks and uncertainties not currently known to the Company or that the Company currently deems to be immaterial also may materially adversely affect our business, financial condition and/or operating results.

ITEM 6. EXHIBITS

See exhibit index following the signature page.

22

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

NICHOLAS FINANCIAL, INC.

(Registrant)

Date: February 09, 2016	/s/ Ralph T. Finkenbrink
	Ralph T. Finkenbrink
	Chairman of the Board, President,
	Chief Executive Officer and Director

Date: February 09, 2016	/s/ Katie L. MacGillivary
	Katie L. MacGillivary
	Vice President and
	Chief Financial Officer

23

EXHIBIT INDEX

Exhibit No.	Description
10.8	Form of Dealer Agreement and Schedule thereto listing dealers that are parties to such agreements
31.1	Certification of the President and Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	Certification of the Vice President and Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1*	Certification of the Chief Executive Officer Pursuant to 18 U.S.C. § 1350
32.2*	Certification of the Chief Financial Officer Pursuant to 18 U.S.C. § 1350
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.LAB	XBRL Taxonomy Extension Labels Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document

* This certification accompanies the Quarterly Report on Form 10-Q and is not filed as part of it.

EX-10.8

Exhibit 10.8

NICHOLAS FINANCIAL, INC.   Automobile Dealer Retail Agreement

Non-Recourse Dealer Retail Agreement

The undersigned Dealer proposes to sell to the undersigned Nicholas Financial, Inc. (NFI), from time to time, Promissory Notes, Security Agreements, Retail Installment contracts, Conditional Sales Contracts, or other instruments hereinafter referred to as “Contracts”, evidencing installment payment obligations owing Dealer arising from the time sale of motor vehicle(s) and secured by such Contracts. It is understood that NFI shall have the sole discretion to determine which Contracts it will purchase from Dealer.

1. Dealer represents and warrants that Contracts submitted to NFI for purchase shall represent valid, bona fide sales for the respective amount therein set forth in such Contracts and that such Contracts represent sales of motor vehicles owned by the Dealer and are free and clear of all liens and encumbrances.

2. Upon purchase by NFI of any contracts hereunder from dealer, dealer shall endorse and assign to NFI the obligations and all pertinent security, security instruments, along with such provisional endorsements as may be stipulated for such contracts purchased by NFI.

3. This Agreement, and sums payable hereunder, may not be assigned by Dealer without written consent of NFI.

4. Dealer acknowledges that NFI charges an acquisition fee and a $75.00 loan processing charge on all contracts purchased and funded by NFI. The acquisition fee and loan processing charge are taken from Dealer Proceeds and are Non-Refundable. The amount is disclosed on each transaction and is set by Nicholas Financial, Inc.

5. Perfection of Security Interest: For each Contract purchased by NFI, Dealer shall, within 20 days of the date of the Contract or within a lesser time period if required by applicable law, file and record all documents necessary to properly perfect the valid and enforceable first priority security interest of NFI in the Vehicle and shall send NFI all security interest filing receipts. A Contract shall be subject to Repurchase for the life of the Contract if NFI suffers a loss due to the Dealership’s failure to (1) file and record, within 20 days of the date of the Contract or within a lesser time period if required by applicable law, all documents required to properly perfect the valid and enforceable first priority security interest of NFI in the Vehicle; (2) send NFI the filing receipts reflecting said perfection.

6. Indemnity: As a separate and cumulative obligation, Dealer shall defend and hold NFI harmless from any and all claims, defenses, offsets, damages, suits, administrative or other proceedings, cost (including reasonable attorney’s fees), expenses, losses, and liabilities. (Collectively Claims) arising out of connected with or relating to the Contract or the goods or services sold there under. Timing of indemnification is within 7 days of demand by NFI.

7. Add-on Products and Services:

a. Defined. “Add-on Products and Services,” or “APS,” shall mean service contracts, mechanical breakdown contracts, GAP contracts, credit life and credit accident and health insurance. In addition, the term shall include other products and services acceptable to and approved in writing by NFI from time to time.

b. Cancellation of APS. If APS has been sold by the Dealer and financed in a Contract purchased by NFI, Dealer agrees that such APS shall be cancelable upon demand by Buyer. Upon such cancellation, Dealer shall immediately notify NFI that the Buyer has canceled the APS. Upon cancellation, Buyer shall be entitled to a refund of the unearned portion of the cash price of the APS as provided in the APS Contract or as may otherwise be required by law, whichever is greater. As between NFI and Dealer, Dealer agrees to pay to NFI, as appropriate, any refund due to Buyer under the terms of an APS Contract. Dealer’s liability under this Section shall be limited to the amount Dealer collected and retained or otherwise received, directly or indirectly, in connection with the sale of the APS.

8. Privacy: Dealer shall not make any unauthorized disclosure of, or use any personal information of individual consumers which it receives from NFI or on NFI’s behalf other than to carry out the purposes for which such information is received. NFI and Dealer shall comply in all respects with all applicable requirements of Title V of the Gramm-Leach-Bliley Act of 1999 and its implementing regulations.

9. No Provisions hereof may be modified, changed or supplemented, unless both parties agree to the amendment in writing.

Nicholas Financial, Inc.	Dealer:
By:	By:
Date:	Date:

DEALER NAME

123 AUTO LLC

12K & UNDER MOTORS

1ST AUTO SALES INC

1ST CHOICE AUTO FINANCING INC

1ST CHOICE CAROLINA CARS

1ST STOP MOTORS INC

247 AUTO SALES

27 MOTORS

2ND CHANCE AUTO OF ALABAMA LLC

31-W AUTO SALES LLC

4042 MOTORS LLC

4042 MOTORSPORTS LLC

44 AUTO MART

5 POINTS AUTO MASTERS

5 STAR AUTO PLEX

5 STAR AUTO PLEX

5 STAR INDY AUTO LLC

83 AUTO SALES LLC

A & D MOTORS SALES CORP

A & D MOTORS, INC.

A & K WHOLESALER LLC

A 2 Z AUTOS

A PLUS CAR SALES & RENTALS INC

A.R.J.’S AUTO SALES, INC

A.Z. AUTOMOTIVE INC

A-1 AUTO GROUP LLC

A1 MOTORS INC

AAA AUTO WHOLESALE LLC

AACC AUTO CAR SALES, INC

ABBY’S AUTOS, INC.

ABC AUTO TRADE USA, LLC

ACCU-CAR EXPO INC

ACCURATE AUTO GROUP INC

ACCURATE AUTOMOTIVE OF

ACES AUTO MART

ACTION AUTO SALES

ACTION MOTORS, INC.

ACTIVE AUTO SALES

ACURA OF GAINSVILLE

ACURA OF ORANGE PARK

ADAM RUE AUTO SALES INC

ADAMS AUTO SALES INC

ADAMSON FORD LLC

ADVANCE AUTO WHOLESALE, INC.

DEALER NAME

ADVANCED AUTO BROKERS, INC.

ADVENTURE STORE X4 LLC

ADVENTURE SUBARU LLC

AFFORDABLE AUTO MOTORS, INC

AFFORDABLE AUTO SALES

AFFORDABLE USED CARS & TRUCKS

AJ CAR SALES

AJ’S AUTO

AJ’S AUTO IMPORTS

AK IMPORTS AUTO SALES

AL PIEMONTE SUZUKI INC

ALEXIS MOTORCAR LLC

ALFA AUTO MALL LLC

ALL ABOUT AUTO’S INC

ALL AMERICAN AUTO MART

ALL AMERICAN AUTO SALES INC

ALL AMERICAN FINANCE AND AUTO

ALL AMERICAN MOTORS

ALL CARS LLC

ALL CREDIT AUTO FINANCE, INC

ALL MAKES AUTO SALES INC

ALL SEASON AUTO SALES LLC

ALL STAR DODGE CHRYSLER JEEP

ALLAN VIGIL FORD

ALLEN TURNER AUTOMOTIVE

ALLSTAR MOTORS, INC.

ALLSTATE LEASING & SALES INC

ALLURE AUTO SALES LLC

ALM MALL OF GEORGIA

ALPHA MOTORS LLC

AL’S AUTO MART

ALTAMAHA MOTORS LLC

ALTERNATIVES

AMERICAN AUTO SALES

AMERICAN AUTO SALES WHOLESALE

AMERICAN MOTOR GROUP OF

AMERICAN SALES & LEASING INC

AMERIFIRST AUTO CENTER, INC.

AMG AUTO SALES INC

AMS CARS

ANDERSON MOTORS

ANDY MOHR FORD, INC.

ANDYS AUTO SALES

ANSWER ONE MOTORS

DEALER NAME

ANTHONY PONTIAC GMC BUICK INC

ANTHONY UNDERWOOD

AUTOMOTIVE

ANTHONY WAYNE AUTO SALES

ANY CAR USA

APPLE FINANCE CO INC

APPROVAL AUTO CREDIT INC.

APPROVED AUTOS LLC

AR MOTORSPORTS INC

ARAK AUTO SALES & SERVICES INC

ARC AUTO LLC

ARCADIA CREEK AUTO SALES LLC

ARENA AUTO SALES

ARES FINANCIAL SERVICES LLC

ARIA AUTO SALES INC

ARLA’S USED CARS

ARMANDOS INC

ARMSTRONG FORD OF HOMESTEAD

A’S USED CARS INC

ASANKA CARS.COM

ASHEBORO NISSAN, INC

ATA TRUCK & AUTO SALES

ATCHINSON FORD SALES

ATL AUTOS .COM

ATLANTA AUTO BROKERS

ATLANTA LUXURY MOTORS INC

ATLANTA USED CARS CENTER, INC

ATLANTIS RENT A CAR AND

AUCTION DIRECT USA

AUFFENBERG USED CARS

AURORA MOTOR CARS

AUTO AMERICA

AUTO BANK

AUTO BOUTIQUE

AUTO BRIGHT AUTO SALES

AUTO BUY CENTER

AUTO CENTER OF GREER LLC

AUTO CENTERS ST CHARLES LLC

AUTO CITY AT CLAYTON

AUTO CITY LLC

AUTO CLUB OF MIAMI

AUTO CONNECTION JAX LLC

AUTO CREDIT & FINANCE CORP

AUTO DEALER SOLUTIONS INC

DEALER NAME

AUTO DIRECT COLUMBUS OH

AUTO DIRECT PRE-OWNED

AUTO ELITE DFW

AUTO ENTERPRISE CO

AUTO EXCHANGE USA CORP

AUTO EXPO HOUSTON

AUTO EXPRESS ENTERPRISE INC

AUTO FINANCE OF TAMPA INC

AUTO GALAXY INC

AUTO GLOBAL

AUTO GROUP USA

AUTO HUB PLUS INC

AUTO JUNCTION LLC

AUTO LIAISON INC

AUTO LIBERTY OF ARLINGTON

AUTO LINE, INC.

AUTO LIQUIDATORS OF TAMPA, INC

AUTO MAC 2

AUTO MALL OF TAMPA INC

AUTO MART OF PASCO

AUTO MASTERS AUTO SALES LLC

AUTO MAX TOLEDO

AUTO MEGA STORE LLC

AUTO NATIONS INC

AUTO NETWORK OF THE TRIAD LLC

AUTO NETWORK, INC.

AUTO OPTION LLC

AUTO PALACE

AUTO PASS SALES & SERVICE CORP

AUTO PLANET II INC

AUTO PLAZA

AUTO PLAZA INC

AUTO PLAZA MOTORS

AUTO PLAZA USA

AUTO POINT USED CAR SALES

AUTO PROFESSION CAR SALES 2

AUTO PROFESSIONAL CAR SALES

AUTO RITE, INC

AUTO SALES OF WINTER GARDEN

AUTO SALES USA

AUTO SEARCH ONE INC

AUTO SELECT

AUTO SELECT INC

AUTO SELECTION OF CHARLOTTE

DEALER NAME

AUTO SMART

AUTO SMART PINEVILLE INC

AUTO SOLUTIONS

AUTO SOLUTIONS MOTOR COMPANY

AUTO SOURCE CAROLINA LLC

AUTO SPA AUTOMOTIVE SALES INC

AUTO SPORT, INC.

AUTO STAR

AUTO STOP INC

AUTO STORE OF GARNER

AUTO TRADEMARK

AUTO TREE

AUTO TRUST LLC

AUTO UNION OF MIAMI INC

AUTO VILLA

AUTO VILLA OUTLET

AUTO VILLA WEST

AUTO VILLAGE

AUTO WAREHOUSE INC

AUTO WEEKLY SPECIALS

AUTO WISE AUTO SALES

AUTO WISE BUYING SERVICE INC

AUTO WORLD

AUTO WORLD INC

AUTOLAND

AUTOLINK

AUTOMAC USA INC

AUTOMALL 59

AUTOMANIAC INC

AUTOMAR CAR SALES INC

AUTOMART LLC

AUTOMAX

AUTOMAX ATLANTA

AUTOMAX CHRYSLER DODGE JEEP

AUTOMAX KC LLC

AUTOMAX OF CHESTER COUNTY

AUTOMAXX OF SUMMERVILLE

AUTOMOBILE COMMODITY LLC

AUTOMONSTA

AUTOMOTIVE WHOLESALE CENTER

AUTONET GROUP LLC

AUTONOMICS

AUTO-ONE USA LLC

AUTOPLEX AUTO SALES &

DEALER NAME

AUTORAMA PREOWNED CARS

AUTORANGE INC

AUTORV MART

AUTOSHOW SALES AND SERVICE

AUTOSPOT CAR SALES

AUTOTEAM INC

AUTOTEAM OF VALDOSTA LLC

AUTOVATION

AUTOWAY NISSAN

AUTOWAY TOYOTA

AUTOWORLD OF GREENWOOD LLC

AUTOWORLD USA

AVERY AUTO SALES INC

AXELROD PONTIAC

AXIOM MOTORS

B AND B AUTO BROKERS LLC

BALLPARK AUTO LLC

BANK AUTO SALES

BARBIES AUTOS CORPORATION

BARGAIN SPOT CENTER

BARLEY’S AFFORDABLE AUTO SALES

BARTELL AUTOMOTIVE GROUP LLC

BARTS CAR STORE INC

BARTS CAR STORE INC

BASELINE AUTO SALES, INC.

BATES FORD INC

BAUCOM MOTORS LLC

BAYSIDE AUTOMALL

BEACH AUTO BROKERS, INC

BEACH BOULEVARD AUTOMOTIVE INC

BECKHAM AUTOMOTIVE GROUP

BEDFORD AUTO WHOLESALE

BEHLMANN ST PETERS PREOWNED

BELAIR ROAD DISCOUNT AUTO

BELLS AUTO SALES

BEN MYNATT NISSAN

BENSON CADILLAC NISSAN, INC.

BENSON FORD MERCURY

BENSON NISSAN

BEREA AUTO MALL

BEREA MOTORS INC

BERGER CHEVROLET

BERT SMITH INTERNATIONAL

BESSEMER CHR LLC

DEALER NAME

BEST AUTO SELECTION INC

BEST CAR FOR LESS

BEST CARS KC INC

BEST DEALS CARS INC

BEST DEALS ON WHEELS AUTO

BEST PRICE AUTO SALES

BEST PRICE DEALER INC

BEST VALUE AUTO SALES INC

BEST WAY MOTORS LLC

BESTWAY AUTO BROKERS LLC

BETTER AUTOMALL OF STUART

BETTER VALUE AUTOS, INC.

BEXLEY MOTORCAR COMPANY LLC

BIARTI AUTO SALES LLC

BIC MOTORS LLC

BICKEL BROTHERS AUTO SALES INC

BIG BLUE AUTOS, LLC

BIG CHOICES AUTO SALES INC

BIG M CHEVROLET

BIG O DODGE OF GREENVILLE, INC

BIG STATE DISCOUNT

BILL BLACK CHEVROLET,

BILL BUCK CHEVROLET, INC

BILL KAY CHEVROLET GEO INC

BILL KAY FORD INC

BILL MAC DONALD FORD INC

BILL PENNEY TOYOTA

BILL STANFORD PONT CAD OLDS GM

BILLS & SON AUTO SALES INC

BILLS AUTO SALES & LEASING,LTD

BILLY HOWELL FORD-LINCOLN-

BILLY RAY TAYLOR AUTO SALES

BILLY WILLIAMS AUTO SALES INC

BILTMORE MOTOR CORP.

BIRMINGHAM WHOLESALE AUTO LLC

BLOOMINGTON AUTO CENTER

BLUE SPRINGD FORD SALES INC

BLUESLADE MOTOR CARS LLC

BOB HOOK OF SHELBYVILLE, LLC

BOB KING’S MAZDA

BOB MAXEY FORD

BOB MAXEY LINCOLN-MERCURY

BOB PFORTE MOTORS

BOB PULTE CHEVROLET GEO, INC.

DEALER NAME

BOB STEELE CHEVROLET INC.

BOBB DUNN FORD, INC

BOBB SUZUKI

BOBBY LAYMAN CHEVROLET, INC.

BOBBY MURRAY TOYOTA

BOLUFE ENTERPRISES, INC.

BOMMARITO CHEVROLET MAZDA

BOOMERS TRUCKS & SUVS LLC

BORN FREE SALES INC

BOWMAN AUTOMOTIVE INC

BRADLEY CHEVROLET, INC.

BRAD’S USED CARS

BRADYS AUTO SALES LLC

BRAMAN HONDA OF PALM BEACH

BRAMLETT PONTIAC INC

BRANDT AUTO BROKERS

BRANNAN AUTO SALES

BRAZIL AUTO MALL INC

BRAZUSA AUTO SALES INC

BRECKENRIDGE MOTORS EAST LLC

BREVARD VALUE MOTORS

BRIDGEVIEW AUTO SALES INC

BRIGGS KIA

BROGS AUTO

BROMAR LLC

BRONDES FORD MAUMEE LTD

BROOKS AUTO SALES

BROTHERS CHEVROLET OLDSMOBILE

BROWARD AUTO WHOLESALE LLC

BROWN’S AUTO SALES

BRYANT AUTO SALES INC

BUCKEYE CHRYSLER JEEP DODGE

BUCKEYE FORD LINCOLN MERC OF O

BUCKEYE MOTORS

BUCKEYE NISSAN, INC.

BUD LAWRENCE INC

BUDGET CAR SALES & RENTALS

BUDGET MOTORCARS

BURNS AUTO MART LLC

BUSH AUTO PLACE

BUY IT RIGHT AUTO SALES LLC

BUY RIGHT AUTO SALES INC

BUYERS CHOICE AUTO CENTER LLC

BUZZ KARZ LLC

DEALER NAME

BYERLY FORD-NISSAN, INC

BYERS CHEVROLET LLC

BYERS DELAWARE AUTO LLC

BYERS IMPORTS

BYERS KIA

C & J AUTO WORLD LLC

C & N AUTO SALES LLC

C & S SALES

C.W. MOTORS INC

CADILLAC OF NOVI INC

CALIFORNIA AUTO CONNECTION INC

CALVARY CARS & SERVICE, INC

CANDY’S AUTO WORLD INC

CANNON BUICK-MITSUBISHI

CAPITAL AUTO SALES

CAPITAL AUTO SPORTS CENTER LLC

CAPITAL AUTOMOTIVE SALES

CAPITAL BUICK PONTIAC GMC LLC

CAPITAL CITY IMPORTS

CAPITAL MOTORS

CAPITAL MOTORS LLC

CAPITAL ONE AUTO GROUP LLC

CAPITOL AUTO

CAR BAZAAR INC OF FRANKLIN

CAR BIZ LLC

CAR BIZ OF TENNESSEE

CAR BOSS LLC

CAR CENTRAL

CAR CHOICE

CAR CHOICE ENTERPRISE II INC

CAR CITY USA LLC

CAR COLLECTION OF TAMPA INC.

CAR CONNECTION INC

CAR COUNTRY

CAR CREDIT INC

CAR DEPOT

CAR FACTORY OUTLET

CAR LEGENDS

CAR MART FL.COM

CAR NATION

CAR NATION LLC

CAR POINT OF ORLANDO INC

CAR SMART

CAR SOURCE

DEALER NAME

CAR SOURCE, LLC.

CAR SPOT OF CENTRAL FLORIDA

CAR TOWN KIA USA

CAR WHOLESALERS

CAR ZONE

CAR ZONE INC

CARCITY

CARDINAL MOTORS INC

CARDIRECT LLC

CAREY PAUL HONDA

CARISMA AUTO GROUP

CARITE OF FT MYERS LLC

CARL GREGORY CHRYSLER-DODGE-

CARL STONE AUTO SALES LLC

CARMA AUTOMOTIVE GROUP

CARMART AUTO SALES

CARMART AUTO SALES INC

CARMART AUTO SALES INC

CARMART USA LLC

CARMEL MOTORS

CAROLINA AUTO EXCHANGE

CAROLINA AUTO SALEZ LLC 1

CAROLINA AUTO SPORTS

CARPLEX

CARPLUS AUTO SALES INC

CARRICK’S LLC

CARROLLTON MOTORS

CARS & CREDIT OF FLORIDA

CARS 4 YOU LLC

CARS CARS CARS LLC

CARS GONE WILD II LLC

CARS N CARS, INC.

CARS OF JAX INC

CARS OF SARASOTA LLC

CARS PLUS LLC

CARS TO GO AUTO SALES AND

CARS TRUCKS & CREDIT INC

CARS UNLIMITED

CARSMART AUTO SALES LLC

CARSMART, INC.

CARTROPIX

CARZ4LESS

CARZONE USA

CAS SALES & RENTALS

DEALER NAME

CASCADE AUTO GROUP, LTD

CASH & DASH AUTO SALES INC

CASH AUTO SALES LLC

CASINO AUTOMOTIVE

CASTLE BUICK GMC

CAVALIER AUTO SALES INC

CC MOTORS INC

CC MOTORS INCORPORATED

CD S AUTOMOTIVE INC

CECIL CLARK CHEVROLET,INC.

CEDARCREST AUTO BROKERS LLC

CENTRAL FLORIDA EXPORTS, INC.

CENTRAL MOTOR WERKS, INC

CERTIFIED AUTO CENTER

CHAMPION CHEVROLET

CHAMPION CHEVROLET INC

CHAMPION OF DECATUR, INC.

CHAMPION PREFERRED AUTOMOTIVE

CHAMPS AUTO SALES INC

CHARLES BARKER PREOWNED OUTLET

CHARLOTTE MOTOR CARS LLC

CHASE AUTO GROUP

CHATHAM PARKWAY TOYOTA

CHEIFS WHOLESALE AUTOS

CHEVROLET OF SPARTANBURG

CHICAGO AUTO DEPOT INC

CHICAGO MOTORS INC

CHIPINQUE AUTO SALES INC

CHOICE AUTOMOTIVE GROUP

CHRIS CARROLL AUTOMOTIVE

CHRIS LEITH AUTOMOTIVE INC

CHRIS SPEARS PRESTIGE AUTO

CHRYSLER DODGE JEEP RAM OF

CHRYSLER JEEP AT POSNER PARK

CHRYSLER JEEP OF DAYTON

CINCINNATI USED AUTO SALES

CIRCLE CITY ENTERPRISES, INC.

CITY AUTO SALES

CITY HYUNDAI

CITY MITSUBISHI

CITY STYLE IMPORTS INC

CITY USED CARS, INC

CITY WIDE AUTO CREDIT

CJ’S AUTO STORE

DEALER NAME

CJ’S AUTO STORE WEST

CLARK CARS INC

CLARK’S SUNSHINE

CLARKSVILLE AUTO SALES

CLASSIC AUTO GROUP INC

CLASSIC AUTOHAUS

CLASSIC BUICK OLDSMOBILE

CLASSIC CHEVROLET SUGAR LAND

CLASSIC CONNECTIONS INC

CLAY COOLEY TOYOTA OF HAZELWOO

CLEVELAND AUTO MART

CLIFF & SONS AUTO SALES

COASTAL AUTO GROUP INC. DBA

COASTAL CHEVROLET, INC.

COBB’S CAR COMPANY INC

COBB’S CAR COMPANY INC

COBRA SALES LLC

COCONUT CREEK HYUNDAI

COLE FORD LINCOLN LLC

COLON AUTO SALES INC

COLUMBUS AUTO RESALE, INC

COLUMBUS AUTO SOURCE

COLUMBUS CAR TRADER

COMBS & CO

COMMONWEALTH DODGE LLC

COMMUNITY AUTO SALES

CONCOURS AUTO SALES, INC.

CONWAY HEATON INC

CONWAY IMPORTS AUTO SALES

COOK & REEVES CARS INC

COOPERATIVE AUTO BROKERS INC

COPELAND MOTOR COMPANY

CORAL WAY AUTO SALES INC

CORLEW CHEVROLET CADILLAC OLDM

CORPORATE CARS INC

CORPORATE FLEET MANAGEMENT

COUCH MOTORS LLC

COUGHLIN AUTOMOTIVE- PATASKALA

COUGHLIN CHEVROLET- NEWARK

COUGHLIN FORD- JOHNSTOWN

COUGHLIN FORD OF CIRCLEVILLE

COUNTRY HILL MOTORS INC

COUNTRY HILL MOTORS, INC.

COUNTY MOTOR CO., INC.

DEALER NAME

COURTESY AUTOMOTIVE

COURTESY CHRYSLER JEEP DODGE

COURTESY FORD

COURTESY PALM HARBOR HONDA

COURTESY TOYOTA

COX AUTO SALES

COYLE CHEVROLET

CRABBS AUTO SALES

CRAIG & LANDRETH INC

CRAMER HONDA OF VENICE

CREDIT APPROVAL AUTO GROUP INC

CREDIT SOLUTION AUTO SALES INC

CRENCOR LEASING & SALES

CRESTMONT CADILLAC

CRESTMONT HYUNDAI, LLC

CRM MOTORS, INC.

CRONIC CHEVROLET OLDSMOBILE

CRONIC CHEVROLET, OLDSMOBILE-

CROSS AUTOMOTIVE

CROSS KEYS AUTO INC

CROSS MOTORS CORPORATION

CROWN ACURA

CROWN AUDI

CROWN AUTO SALES AND FINANCE

CROWN BUICK GMC

CROWN HONDA

CROWN KIA

CROWN KIA

CROWN MOTORS INC

CROWN NISSAN GREENVILLE

CRUISER AUTO SALES

CRYSTAL LAKE CHRYSLER JEEP INC

CULLMAN AUTO MALL

CUNNINGHAM MOTORS

D & G CARS SALE CORP

DAILEY AUTO SALES LLC

DAILEYS USED CAR SALES LLC

DAN CUMMINS CHV BUICK PONTIAC

DAN TOBIN PONTIAC BUICK GMC

DAN TUCKER AUTO SALES

DAN VADEN CHEVROLET, INC.

DANE’S AUTO SALES LLC

DARCARS WESTSIDE PRE-OWNED

DAS AUTOHAUS LLC

DEALER NAME

DAVE GILL PONTIAC GMC

DAVE SINCLAIR LINCOLN

DAVES JACKSON NISSAN

DAVID SMITH AUTOLAND, INC.

DAWSON’S AUTO & CYCLE LLC

DAWSONS AUTO & TRUCK SALES INC

DAYTON ANDREWS INC.

DBA AUTONATION CHEVROLET

DEACON JONES AUTO PARK

DEALER SERVICES FINANCIAL CTR

DEALS 4U AUTO LLC

DEALS FOR WHEELS

DEALS ON WHEELS

DEALZ AUTO TRADE

DEALZ ON WHEELZ LLC

DEAN SELLERS, INC.

DECENT RIDE.COM

DEECO’S AUTO SALES INC

DEEP SOUTH SPECIALTIES LLC

DELRAY MAZDA

DENNIS AUTO POINT

DEPENDABLE MOTOR VEHICLES INC

DEPUE AUTO SALES INC

DESTINYS AUTO SALES

DFW AUTO FINANCE AND SALES

DIAMOND K MOTORS LLC

DICK BROOKS HONDA

DICK DEAN ECONOMY CARS INC

DICK MASHETER FORD, INC.

DICK NORRIS BUICK

DICK SCOTT DODGE

DIMMITT CHEVROLET

DIRECT AUTO EXCHANGE, LLC

DIRECT AUTO SALES

DIRECT AUTOMOTIVE

DIRECT SALES & LEASING

DISCOUNT AUTO MART INC

DISCOUNT CARS OF MARIANNA INC

DISCOVERY AUTO CENTER LLC

DIXIE IMPORT INC

DIXIE WAY MOTORS INC

DM MOTORS, INC.

DODGE OF ANTIOCH INC

DOGWOOD AUTO WORKS INC

DEALER NAME

DON AYERS PONTIAC INC

DON HINDS FORD, INC.

DON JACKSON CHRYSLER DODGE

DON MARSHALL CHYSLER CENTER

DON REID FORD INC.

DON SITTS AUTO SALES INC

DONLEY FORD LINCOLN

DORAL CARS OUTLET

DOUGLAS AUTO SALES INC

DOUG’S AUTO SALES INC

DOWNTOWN BEDFORD AUTO

DOWNTOWN HYUNDAI

DRAKE MOTOR COMPANY

DRIVE AUTO SALES

DRIVE NOW AUTO SALES

DRIVE OUT AUTO INC

DRIVE WITH PRIDE INC

DRIVEMAX, INC.

DRIVEN AUTO SALES LLC

DRIVER SEAT AUTO SALES LLC

DRIVERIGHT AUTO SALES, INC.

DRIVERS WORLD

DRIVEWAYCARS.COM

DUNN CHEVROLET OLDS INC.

DURAN MOTOR SPORTS INC

DURHAM MOTORS LLC

DURHAMS AUTO MART

DUTCH ISHMAEL CHEVROLET INC

DUVAL CARS LLC

DUVAL FORD

DYNAMIC AUTO WHOLESALES INC

DYNAMIC MOTOR COMPANY LLC

DYNASTY MOTORS

E & R AUTO SALES INC

E AUTO BROKERS OF FLORIDA INC

E AUTO SOLUTIONS

E Z PAY AUTO SALE INC

EAGLE ONE AUTO SALES

EASLEY MITSUBISHI’S THE

EAST ANDERSON AUTO SALES

EAST BEACH AUTO SALES

EAST LAKE AUTO SALES INC.

EAST LIMESTONE AUTOPLEX INC

EASTERN AUTO SALES NC LLC

DEALER NAME

EASTERN SHORE AUTO BROKERS INC

EASTGATE MOTORCARS, INC

EASY AUTO AND TRUCK

ECONO AUTO SALES INC

ECONOMIC AUTO SALES INC

ECONOMY MOTORS LLC

ED KOEHN FORD OF WAYLAND

ED MORSE AUTO PLAZA

ED MORSE MAZDA LAKELAND

ED NAPLETON OAK LAWN IMPORTS

ED VOYLES HONDA

ED VOYLES HYUNDAI

ED VOYLES KIA OF CHAMBLEE

EDDIE MERCER AUTOMOTIVE

EDEN AUTO SALES

EDGE AUTO

EDGE AUTO

EDWARDS CHEVROLET CO

EJ’S AUTO WORLD, INC.

EJ’S QUALITY AUTO SALES, INC.

ELEPHANT AUTOGROUP

ELITE AUTO SALES OF ORLANDO

ELITE AUTO WHOLESALE

ELITE AUTOMALL LLC

ELITE IMPORTS LLC

ELITE LEVEL AUTO INC

ELITE MOTORS

ELITE MOTORS, INC.

ELYRIA BUDGET AUTO SALES INC

EMJ AUTOMOTIVE REMARKETING

EMPIRE AUTO GALLERY CORPORATIO

EMPIRE AUTO SALES & SERVICE

EMPIRE AUTOMOTIVE GROUP

EMPIRE EXOTIC MOTORS, INC

ENCINOMAN INC

ENTERPRISE CAR SALES

ENTERPRISE CAR SALES

ENTERPRISE CAR SALES

ENTERPRISE CAR SALES

ENTERPRISE LEASING COMPANY

ENTERPRISE LEASING COMPANY

EON AUTO LLC

ERNEST MOTORS, INC.

ERNIE PATTI AUTO LEASING &

DEALER NAME

ETTLESON HYUNDAI LLC

EXCEL AUTO SALES

EXCEL MOTORS

EXCELLENCE AUTO DIRECT

EXCLUSIVE AUTO WHOLESALE LLC

EXCLUSIVE MOTOR CARS LLC

EXECUTIVE AUTO SALES

EXECUTIVE CARS LLC

EXECUTIVE MOTORS

EXOTIC MOTORCARS

EXPRESS AUTO SALES LLC

EXPRESS CAR SALES

EXPRESS MOTORS

EXPRESS MOTORS LLC

EXTREME DODGE DODGE TRUCK

EXTREME WINDOW TINTING SIGNS &

EZ CAR CONNECTION LLC

E-Z CAR CREDIT INC

F4 MOTORS

FACIDEAL AUTO CENTER INC

FACTORY DIRECT AUTO

FAIRLANE FORD SALES, INC.

FAITH MOTORS INC

FAMILY AUTO CENTER AND SERVICE

FAMILY KIA

FANELLIS AUTO

FASTLANE AUTO CREDIT INC

FAT SACK MOTORS, LLC

FATHER & SON AUTO SALES

FERCO MOTORS CORP

FERMAN CHRYSLER JEEP DODGE AT

FERMAN FORD

FERMAN NISSAN

FIAT OF SAVANNAH

FIAT OF SOUTH ATLANTA

FIAT OF WINTER HAVEN

FINAST AUTO SALES

FIREHOUSE MOTORS

FIRKINS C.P.J.S.

FIRST CHOICE AUTOMOTIVE INC

FIRST CLASS AUTO SALES LLC

FIRST CLASS MOTORS INC

FIRST COAST AUTO SALES INC

FIRST PLACE AUTO SALES

DEALER NAME

FIRST STOP AUTO SALES

FIRST UNION AUTOMOTIVE LLC

FISHER AUTO & RV SALES

FITZGERALD MOTORS, INC.

FIVE STAR AUTO SALES OF

FIVE STAR AUTOS INC

FIVE STAR CAR & TRUCK

FIVE STAR CHEVROLET CADILLAC

FIVE STAR FORD STONE MOUNTAIN

FIVE STARS SPORT CARS INC

FLAMINGO AUTO SALES

FLEET SERVICES REMARKETING

FLETCHER CHRYSLER PRODUCTS INC

FLORENCE AUTO MART INC

FLORIDA AUTO EXCHANGE

FLORIDA AUTO SALES AND REPAIR

FLORIDA AUTO XCHANGE LLC

FLORIDA CARS USA

FLORIDA MOTORS

FLORIDA TRUCK SALES

FLOW HONDA

FLOW MOTORS

FMC AUTO SALES INC

FOOTHILL FORD

FORT MYERS TOYOTA INC.

FORT PIERCE MOTORS, INC.

FORT WALTON BEACH

FORT WAYNE AUTO CONNECTION LLC

FORTUNE MOTOR GROUP

FOX MOTORS INC

FRANCO AUTO MOTORS LLC

FRANK LETA HONDA

FRANK MYERS AUTO SALES, INC

FRED ANDERSON KIA

FRED ANDERSON NISSAN OF RALEIG

FRED MARTIN FORD

FREEDOM AUTOMOTIVE GROUP LLC

FRENSLEY CHRYSLER PLYMOUTH

FRIENDLY FINANCE AUTO SALES

FRITZ ASSOCIATES

FRONTIER MOTORS INC

FROST MOTORS

FUSION AUTOPLEX LLC

FUTURE AUTO IMPORTS INC

DEALER NAME

G & J MOTORSPORTS INC

G & R AUTO SALES CORP

G BROTHERS AUTO BROKERS INC

G E A AUTO SALES

GAINESVILLE AUTO KI LLC

GAINESVILLE DODGE

GANLEY BEDFORD IMPORTS INC

GANLEY CHEVROLET, INC

GANLEY CHRYSLER JEEP DODGE INC

GANLEY LINCOLN MERCURY

GARLAND NISSAN LLC

GASTONIA NISSAN, INC

GATES CHEV PONT GMC BUICK

GATEWAY AUTO PLAZA

GATEWAY BUICK GMC

GATOR CHRYSLER-PLYMOUTH, INC.

GE MOTORS 1 LLC

GENERAL AUTO LLC

GENESIS AUTO SALES LLC

GENESIS OF SUMMERVILLE LLC

GEN-X CORP

GEOFF ROGERS AUTOPLEX

GEOFF ROGERS AUTOPLEX NORTH

GEORGE NAHAS CHEVROLET INC

GEORGE WEBER CHEVROLET CO

GEORGETOWN AUTO SALES

GEORGIA AUTO WORLD LLC

GEORGIA CHRYSLER DODGE

GEORGIA IMPORT AUTO

GERALDA AUTO SALES

GERMAIN NISSAN OF ALBANY, INC

GERMAIN TOYOTA

GERMAIN TOYOTA

GETTEL HYUNDAI

GETTEL TOYOTA

GINN MOTOR COMPANY

GISELLE MOTORS, CORP

GLADDING CHEVROLET, INC.

GLADSTONE AUTO INC

GLEN BURNIE AUTO EXCHANGE, INC

GLENBROOK DODGE, INC.

GLENDALE CHRYSLER JEEP INC

GLOBAL AUTO LEASING LLC CIRCLE

GLOBAL MOTORS INC

DEALER NAME

GLOBAL PRE-OWNED INC

GLOVER AUTO SALES

GMOTORCARS INC

GMT AUTO SALES, INC

GO! AUTO STORE

GOLD KEY AUTO INC

GOLD RUSH REMARKETING

GOLDEN GATE AUTOMOTIVE LLC

GOLDEN OLDIES

GOLLING CHRYSLER JEEP

GOOD BAD NO CREDIT AUTO SALES

GOOD CARMA MOTORS

GOOD MOTOR COMPANY

GOOD MOTORS, INC.

GOOD RIDES INC

GOOD TO GO AUTO SALES, INC.

GR MOTOR COMPANY

GRACE AUTOMOTIVE LLC

GRAHAM MOTOR COMPANY

GRAINGER NISSAN

GRANT CAR CONCEPTS

GRANT MOTORS CORP.

GRAVITY AUTOS ATLANTA

GRAVITY AUTOS ROSWELL

GREAT BRIDGE AUTO SALES

GREAT LAKES CHEVROLET BUICK

GREAT LAKES CHRYSLER DODGE JEE

GREAT LAKES HONDA

GREEN AUTO SALES INC

GREEN LIGHT CAR SALES

GREENBRIER DODGE OF CHES, INC.

GREEN’S TOYOTA

GREER NISSAN

GREG COATS CARS AND TRUCKS

GREG SWEET CHEVY BUICK OLDS

GREG SWEET FORD INC

GREGS COMPLETE AUTO REPAIR AND

GRIFFIN FORD SALES, INC.

GRIMALDI AUTO SALES INC

GROTE AUTOMOTIVE INC

GROW AUTO FINANCIAL INC

GUARANTEED CARS & CREDIT

GULF ATLANTIC WHOLESALE INC

GULF COAST AUTO BROKERS, INC.

DEALER NAME

GULF SOUTH AUTOMOTIVE

GULFSIDE MOTORS LLC

GWINNETT MITSUBISHI

GWINNETT PLACE NISSAN

GWINNETT SUZUKI

H & H AUTO SALES

H & H AUTO SALES

H GROUP AUTO SALES

HAGGERTY BUICK GMC INC

HAIMS MOTORS INC

HAIMS MOTORS INC

HALEY TOYOTA CERTIFIED

HALO AUTOSPORTS LLC

HALTOM CITY AUTO SALES

HAMILTON CHEVROLET INC

HAMMCO INC

HANNA IMPORTS

HAPPY AUTO MART

HAPPY CARS AUTO SALES

HAPPY HYUNDAI

HARBOR CITY AUTO SALES, INC.

HARBOR NISSAN

HARDIE’S USED CARS, LLC

HARDIN COUNTY HONDA

HARDY CHEVROLET

HARDY CHEVROLET INC.

HARRIET SALLEY AUTO GROUP LLC

HATCHER’S AUTO SALES

HATFIELD USED CAR CENTER

HEADQUARTER HONDA

HEADQUARTERS AUTO GROUP

HEB AUTO SALES INC

HENDERSONVILLE AUTO BROKERS

HENDRICK CHEVROLET LLC

HENDRICK CHRYSLER DODGE JEEP

HENDRICK HONDA

HENKUIS MOTORSPORTS LLC

HENNESSY MAZDA PONTIAC

HERITAGE AUTOMOTIVE GROUP

HERITAGE NISSAN

HERRINGTON AUTOMOTIVE

HI LINE IMPORTS INC

HIALEAH MOTORS INC

HIGH Q AUTOMOTIVE CONSULTING

DEALER NAME

HIGHESTCASHFORCARS LLC

HIGHLINE IMPORTS, INC.

HILL & HILL AUTOMOTIVE SALES

HILL KELLY DODGE, INC

HILLMAN MOTORS, INC.

HILLTOP MOTORS

HILLWOOD AUTO SALES & SERVICE

HILTON HEAD NISSAN

HINESVILLE FORD COMPANY

HOBSON CHEVROLET BUICK GMC LLC

HOLLYWOOD MOTOR CO #3

HOLLYWOOD MOTOR SALES

HOMESTEAD MOTORS

HONDA CARS OF BRADENTON

HONDA MARYSVILLE

HONDA OF CONYERS

HONDA OF FRONTENAC

HONDA OF GAINESVILLE

HONDA OF MUFREESBORO

HONDA OF OCALA

HONDA OF TIFFANY SPRINGS

HONEYCUTT’S AUTO SALES, INC.

HOOSH’S AUTO SALES, INC.

HOOSIER AUTO LLC

HOOVER AUTOMOTIVE LLC

HOOVER CHRYSLER PLYMOUTH DODGE

HOOVER MITSUBISHI CHARLESTON

HOOVER THE MOVER CAR AND

HORACE G ILDERTON

HOUSTON AUTO EMPORIUM

HOUSTON CAR SALES INC

HOUSTON DIRECT AUTO

HOWARD AUTO GROUP

HT MOTORS INC

HUBLER AUTO PLAZA

HUBLER CHEVROLET INC

HUBLER FINANCE CENTER

HUBLER FORD LINCOLN MERCURY

HUBLER NISSAN, INC.

HUGH WHITE HONDA

HUNT AUTOMOTIVE, LLC

HUNTER NISSAN

HUSTON BUICK GMC CADILLAC INC

DEALER NAME

HUSTON MOTORS INC.

HVS CAPITAL GROUP

HWY 150 BUYERS WAY, INC.

HYUNDAI OF GREER

HYUNDAI OF NEW PORT RICHEY

HYUNDAI OF NICHOLASVILLE

HYUNDIA OF ORANGE PARK

I 95 TOYOTA & SCION

I GOT A DEAL USED CARS

I-80 AUTO SALES INC

IAUTO INC

IDEAL USED CARS INC

IMAGINE CARS

IMAGINE POWERSPORTS

IMPERIAL MOTORS

IMPERIAL SALES & LEASING INC

IMPEX AUTO SALES

IMPORT’S LTD

INCREDIBLE AUTO BROKERS AND

INDEPENDENCE AUTO SOLUTIONS

INDIAN RIVER LEASING CO

INDY AUTO LAND LLC

INDY AUTO MAN LLC

INFINITI OF COLUMBUS, LLC

INLINE AUTO SALE INC

INTEGRITY MOTORS RVA LLC

INTEGRITY OF CHICAGO

INTERNATIONAL AUTO OUTLET

INTERNATIONAL AUTO WHOLESALERS

INTERNATIONAL MOTORS CO.

IPS MOTORS LLC

J & B AUTO GROUP LLC

J & J MOTORS INC

J & L AUTO SALES

J & M AFFORDABLE AUTO, INC.

J&M AUTOMOBILES CORP

J.R. WHOLESALE LLC

JACK DEMMER FORD, INC.

JACK KAIN FORD, INC.

JACK MAXTON CHEVROLET INC

JACK MAXTON CHEVROLET, INC

JACK MAXTON USED CARS

JACK MILLER AUTO PLAZA LLC

JACK MILLER KIA

DEALER NAME

JACKIE MURPHY’S USED CARS

JACK’S USED CARS

JACK-SON AUTO SALES INC

JAKE SWEENEY KIA

JAKE SWEENEY MAZDA WEST

JAKMAX

JANSON AUTOMOTIVE

JARRARD PRE-OWNED VEHICLES

JARRETT GORDON FORD INC

JARRETT-GORDON FORD OF WINTER

JAX AUTO WHOLESALE, INC.

JAX EXPORTS INC

JAY PONTIAC BUICK

JAY WOLFE AUTO OUTLET

JAY WOLFE HONDA

JAZCARS, INC.

JC AUTO MARKET LLC

JDF AUTO

JEFF DRENNEN FORD

JEFF WYLER CHEVROLET OF

JEFF WYLER DIXIE HONDA

JEFFERSON CHEVROLET CO.

JEFFREYS AUTO EXCHANGE

JEMS AUTO SALES INC

JENKINS ACURA

JENKINS HYUNDAI

JENKINS MAZDA

JENKINS NISSAN, INC.

JENO AUTOPLEX

JENROC AUTO SALES

JEREMIAH’S RIDES LLC

JEREMY FRANKLINS SUZUKI OF KAN

JERRY HUNT AUTO SALES

JERRY MOTORS, INC.

JERRY WILSON’S MOTOR CARS

JEWEL AUTO SALES

JIM BURKE NISSAN

JIM BUTLER AUTO PLAZA

JIM ORR AUTO SALES

JIMMY KAVADAS YOUR CREDIT MAN

JIMMY SMITH PONTIAC BUICK GMC

JK AUTOMOTIVE GROUP LLC

JKB AUTO SALES

JMC AUTO BROKERS INC

DEALER NAME

JOE RICCI AUTOMOTIVE

JOEY BLASINGAME AUTO SALES

JOHN BELL USED CARS INC

JOHN BLEAKLEY FORD

JOHN HEISTER CHEVROLET

JOHN HINDERER HONDA

JOHN JENKINS, INC.

JOHN SNYDER AUTO MART, INC.

JOHN WEISS TOYOTA SCION OF

JOHNNY WRIGHT AUTO SALES LLC

JOHNNYS MOTOR CARS LLC

JORDAN AUTO SALES

JOSEPH MOTORS

JOSEPH TOYOTA INC.

JOSES AUTO SALES INC

JP POWERCARS CORP

JPL AUTO EMPIRE

JT AUTO INC.

JUST-IN-TIME AUTO SALES INC

K & M MOTORS

K & M SUZUKI

K & O AUTO WHOLE SALE INC

K B AUTO EMPORIUM

K J N S ENTERPRISE LLC

K T AUTO SALES LLC

KACHAR’S USED CARS, INC.

KAHLER AUTO SALES LLC

KAHLO CHRYSLER JEEP DODGE INC

KALER LEASING SERVICES INC

KAR SELECT

KARGAR, INC.

KATHY’S KARS

KC CAR GALLERY

KEFFER PRE-OWNED SOUTH

KEITH HAWTHORNE HYUNDAI, LLC

KEITH PIERSON TOYOTA

KELLEY BUICK GMC INC

KELLYS CARS 4 U INC

KEMET AUTO SALES

KENDALL TOYOTA

KENNYS AUTO SALES, INC

KEN’S AUTOS

KENS KARS

KERRY NISSAN, INC.

DEALER NAME

KEVIN POWELL MOTORSPORTS

KEY CHRYLSER PLYMOUTH INC

KIA COUNTRY OF SAVANNAH

KIA OF CANTON

KIA OF CLARKSVILLE

KIA OF GREER

KIA OF LEESBURG

KIA OF NORTH GRAND RAPIDS

KIA TOWN CENTER

KILBURN MOTOR COMPANY

KIM GRAHAM MOTORS

KIN FOLK AUTO SALES

KING AUTOMOTIVE, LLC

KING BROTHERS USED CARS

KING MOTORS

KING SUZUKI OF HICKORY LLC

KINGDOM CHEVROLET INC

KINGS AUTO GROUP INC

KINGS AUTO SALES, INC

KINGS FORD, INC

KINGS HONDA

KINGS MAZDA

KINGS OF QUALITY AUTO SALES

KIRTLAND CAR COMPANY, INC.

KKS AUTO SALES

KLASSIC CARS LLC

KMAX INC

KNE MOTORS, INC.

KNH WHOLESALE

KNOX BUDGET CAR SALES & RENTAL

KOE-MAK CORP

KRAFT MOTORCAR CO.

KUHN HONDA VOLKSWAGON

KUNES COUNTRY FORD LINCOLN INC

KUNES COUNTY FORD OF ANTIOCH

KZ AUTO SALES

L & J AUTO SALES & LEASING LLC

LA AUTO STAR, INC.

LAFONTAINE AUTO GROUP

LAFONTAINE BUICK GMC OF ANN

LAFONTAINE MOTORS, INC

LAGRANGE AUTO SALES

LAGRANGE MOTORS

LAGUNA NIGUEL AUTO SALES INC

DEALER NAME

LAKE HARTWELL HYUNDAI

LAKE NISSAN SALES, INC.

LAKE WALES CHRSYLER DODGE

LAKESIDE MOTORS INC

LALLY ORANGE BUICK PONTIAC GMC

LANCASTER AUTO AND

LANCASTER AUTO SALES AND

LANCASTER AUTOMOTIVE

LANCASTERS AUTO SALES, INC.

LANDERS MCLARTY CHEVROLET

LANDERS MCLARTY SUBARU

LANDMARK AUTO INC

LANDMARK CDJ OF MONROE, LLC

LANDMARK MOTOR COMPANY

LANE 1 MOTORS

LANGDALE HONDA KIA OF

LANIGAN’S AUTO SALES

LARA’S TRUCKS INC

LARRY JAY IMPORTS, INC

LASCO FORD INC

LATIN MOTORS INTERNATIONAL LLC

LAW AUTO SALES, INC

LEE KIA OF GREENVILLE

LEE’S AUTO SALES, INC

LEES SUMMIT DODGE CHRYSLER JEE

LEGACY AUTO BROKERS LLC

LEGACY AUTO SALES

LEGACY AUTOS

LEGACY FORD MERCURY

LEGACY TOYOTA

LEVEL UP AUTO SALES

LGE CORP

LIBERTY FORD LINCOLN MERC INC

LIBERTY FORD SOUTHWEST, INC

LIBERTY FORD, INC

LIBERTY MOTORS LLC

LIBERTY USED MOTORS INC

LIBERTYVILLE CHEVROLET LLC

LIFESTYLE MOTOR GROUP

LIGHTHOUSE AUTO SALES

LIONS MOTORS CORP

LJ USED CARS INC 2

LMN AUTO INC

LOCKHART CADILLAC INC

DEALER NAME

LOKEY NISSAN

LONDOFF JOHNNY CHEVROLET INC

LONESTAR MOTOR

LONGSTREET AUTO

LOT 1 AUTO SALES LLC

LOU FUSZ MITSUBISHI ST. PETERS

LOU FUSZ MOTOR CO

LOU SOBH AUTOMOTIVE OF

LOWEST PRICE TRANSPORTATION

LUCKY DOGS CREDIT & CARS LLC

LUNA MOTOR GROUP CORP

LUXURY AUTO LINE LLC

LUXURY AUTO SALES LLC

LUXURY CARS & FINANCIAL, INC.

LUXURY FLEET LEASING LLC

LUXURY IMPORTS AUTO SALES

LYNNHAVEN MOTOR COMPANY

M & M AUTO SUPER STORE

M & M AUTO WHOLESALERS, LLC

M & M AUTO, INC.

M & M MOTORS OF ROCK HILL INC

M & S AUTO SALES

MAC HAIK CHRYSLER DODGE JEEP

MAC HAIK PRE-OWNED

MACHADO AUTO SELL LLC

MACON AUTO SALES

MADISON AUTO SALES LLC

MADISON COUNTY FORD LINC MERC

MAGIC MOTORS CENTER

MAHER CHEVROLET INC

MAINLAND AUTO SALES INC

MAINSTREAM AUTO SALES LLC

MAJESTIC AUTOS INC

MALCOLM CUNNINGHAM HYUNDAI

MALOY AUTOMOTIVE LLC

MANASSAS AUTOMOBILE GALLERY

MARANATHA AUTO

MARANATHA AUTO, INC.

MARCH MOTORS INC.

MARCHANT CHEVROLET INC

MARIANNA MOTOR CO

MARIETTA AUTO SALES

MARIETTA LUXURY MOTORS

MARK THOMAS FORD

DEALER NAME

MARKAL MOTORS INC

MARLOZ OF HIGH POINT

MARTIN COACHWORKS LLC

MARTIN’S AUTO BROKERS LLC

MARTINS USED CARS INC

MARVIN MOTORS INC

MASTER AUTO GROUP

MASTER CAR INTERNATIONAL, INC

MASTER CARS

MASTER CARS CO INC

MATHEWS FORD INC.

MATHEWS FORD OREGON, INC

MATHEWS HAROLD NISSAN

MATRIX AUTO SALES, INC.

MATT CASTRUCCI

MAUS MOTORS INC

MAX MOTORS INC

MAXIE PRICE CHEVROLETS OLDS,

MAXIMUM DEALS, INC.

MAYSVILLE AUTO SALES

MAZDA OF ROSWELL

MCADENVILLE MOTORS

MCCLUSKY’S CHEVROLET INC

MCCORMICK MOTORS INC

MCDANIELS ACURA OF CHARLESTON

MCFARLAND CHEVROLET-BUICK, INC

MCGHEE AUTO SALES INC.

MCHUGH INC

MCINERNEYS WOODHAVEN CHRYSLER

MCJ AUTO SALES OF CENTRAL

MCKENZIE MOTOR COMPANY, INC,

MCLYMONT AFFORDABLE LUXURY AUT

MCNEILL NISSAN OF WILKESBORO

MCPHAILS AUTO SALES

MEACH AUTO SALES

MEDINA AUTO BROKERS

MEDLIN BUICK GMC MAZDA

MEGA AUTO SALES LLC

MELRAY MOTORS CORP

MELROSE AUTO OUTLET INC

MEMORIAL HWY AUTO SALES AND

MERLIN AUTOS LLC

MEROLLIS CHEVROLET SALES

DEALER NAME

METRO IMPORTS INC

METRO USED CARS

MGM AUTO SALES

MIA REPOS LLC

MIAMI AUTO SHOW LLC

MIAMI AUTO WHOLESALE

MIAMI CARS INTERNATIONAL INC

MIAMI EMPIRE AUTO SALES CORP

MICHAELS AUTO SALES OF WEST

MICHAEL’S IMPORTS

MICHAEL’S MOTOR CO

MID AMERICA AUTO EXCHANGE INC

MID AMERICA AUTO GROUP

MID CITY MOTORS OF LEE COUNTY

MID LAKE MOTORS INC.

MID RIVERS MOTORS

MIDCITY AUTO & TRUCK EXCHANGE

MIDDLE TENNESSEE AUTO MART LLC

MIDDLETOWN FORD, INC

MIDFIELD MOTOR COMPANY, INC.

MID-REGIONAL AUTO COMPANY

MID-TOWN MOTORS LLC

MID-TOWNE AUTO CENTER, INC.

MIDWAY AUTO GROUP

MIDWAY AUTOGROUP

MIDWEST AUTO GROUP LLC

MIDWEST AUTO MART LLC

MIDWEST AUTO STORE LLC

MIDWEST FINANCIAL SERVICES

MIDWEST MOTORS

MIDWEST MOTORS & TIRES

MIDWEST MOTORSPORT SALES &

MIDWESTERN AUTO SALES, INC.

MIGENTE MOTORS INC

MIKE ANDERSON USED CAR SUPER

MIKE BASS FORD

MIKE BELL CHEVROLET INC

MIKE CASTRUCCI CHEVY OLDS

MIKE CASTRUCCI FORD OF ALEX

MIKE CASTRUCCI FORD SALES

MIKE KEFFER CHRYSLER DODGE

MIKE PRUITT HONDA INC

MIKE SHAD FORD

MIKE WILSON CHEVROLET

DEALER NAME

MIKES TRUCKS AND CARS

MILES AUTO SALES

MILESTONE MOTORS, L.L.C.

MILLENIUM AUTO SALES

MINT AUTO SALES

MINTON MOTOR CARS II LP

MIRA AUTO SALES LLC

MIRACLE CHRYSLER DODGE JEEP

MISSOURI MOTORS LLC

MJ AUTO SALES

MK AUTO BROKER INC

MMC AUTO SALES LLC

MO AUTO SALES

MODERN CORP

MODERN HYUNDAI OF CONCORD LLC

MODERN TOYOTA

MOMENTUM MOTOR GROUP LLC

MONARCH CAR CORP

MONROE DODGE/CHRYSLER INC.

MONROE MOTOR SPORT

MONZON AUTO SALES INC

MOODY AUTO SALES

MOORING AUTOMOTIVE GROUP LLC

MORRIS IMPORTS LLC

MOSS CURTAIN MOTORS LLC

MOTOR CAR CONCEPTS II

MOTOR CARS HONDA

MOTOR CARS OF STUART

MOTOR CITY AUTO INC

MOTOR CITY AUTO INC

MOTORCARS

MOTORCARS OF LANSING INC

MOTORCARS TOYOTA

MOTORHOUSE INC

MOTORMAX OF GRAND RAPIDS

MOTORS DRIVEN INC

MOTORS TRUST INC

MOTORSPORTS UNLIMITED INC

MOTORVATION MOTOR CARS

MOUNTAIN VIEW CDJR

MR AUTO INC

MR AUTO SALES

MR DEALS AUTO SALES & SERVICE

MR WHOLESALER INC

DEALER NAME

MS AUTO SALES LLC

MULDER AUTO SALES

MULLER HONDA OF GURNEE

MULLINAX FORD OF PALM BEACH

MUNN MOTORSPORTS HIGHLINE

MURPHY MOTOR CO

MURRAY’S USED CARS

MUSIC CITY AUTOPLEX LLC

MWS WHOLESALE AUTO OUTLET

MY CAR LLC

MYEZAUTOBROKER.COM LLC

MYLENBUSCH AUTO SOURCE LLC

N & D AUTO SALES, INC.

NALLEY HONDA

NAPLETON SANFORD IMPORTS LLC

NAPLETON’S HYUNDAI

NASH CHEVROLET COMPANY

NASHVILLE CHRYSLER DODGE JEEP

NATIONAL AUTO CREDIT INC

NATIONAL AUTO SALES I LLC

NATIONAL CAR MART, INC

NATIONAL MOTORS, INC.

NATIONAL ROAD AUTOMOTIVE LLC

NATIONWIDE LUXURY CARS INC

NAVA MOTORS CORP

NEIL HUFFMAN HONDA

NELSON AUTO SALES

NELSON MAZDA

NELSON MAZDA RIVERGATE

NEUHOFF AUTO SALES

NEW RIDE MOTORS

NEW RIDE MOTORS

NEWARK AUTO LLC

NEWPORT AUTO GROUP

NEWSED AUTO INC

NEWTON’S AUTO SALES, INC.

NEXT CAR INC

NEXT RIDE AUTO SALES INC

NEXTCAR

NICHOLAS DATA SERVICES, INC.

NICHOLASVILLE NISSAN

NICK MAYERS MARSHALL FORD LINC

NICKS AUTO MART

NIMNICHT PONTIAC

DEALER NAME

NISSAN OF GALLATIN

NISSAN OF NEWNAN

NISSAN ON NICHOLASVILLE

NITRO MOTORS LLC

NOEL AUTOMOTIVE GROUP LLC

NORTH AMERICAN FLEET SALES INC

NORTH ATLANTA MOTORS LLC

NORTH BROTHERS FORD, INC

NORTH COAST AUTO SALES INC

NORTH COAST CAR CREDIT LLC

NORTH EAST AUTO SALES INC

NORTH MAIN MOTORS INC

NORTHEAST FLORIDA AUTO SOLUTIO

NORTHERN KY AUTO SALES LLC

NORTHGATE CHRYSLER JEEP INC

NORTHLAND CHRYSLER JEEP DODGE

NORTHSTAR AUTO GROUP

NORTHTOWNE OF LIBERTY SUZI,

NORTHWEST AUTO BROKERS LLC

NORTHWEST FINANCIAL LLC

NORTHWEST MOTORS INC

NOURSE CHILLICOTHE

NUMBER ONE IN RADIO ALARMS INC

NU-WAVE AUTO CENTER

OAKES AUTO INC

OASIS MOTORS

OBRIEN FORD MERCURY

OCEAN AUTO BROKERS

OCEAN HONDA

O’CONNORS AUTO OUTLER

OFF LEASE FINANCIAL, INC.

OFFLEASE AUTOMART LLC

O’HARE MOTOR CARS

OHIO AUTO CREDIT LLC

OLATHE FORD SALES, INC.

OLDHAM MOTOR COMPANY LLC

ON TRACK AUTO MALL, INC.

ONE SOURCE AUTOS INC

ORANGE PARK AUTO MALL

ORANGE PARK DODGE

ORANGE PARK MITSUBISHI

ORANGE PARK TRUCKS

ORCHARD LAKE MOTORS LLC

ORLANDO AUTO LOUNGE LLC

DEALER NAME

ORLANDO AUTOS

OSCAR MOTORS CORPORATION

OT AUTO SALES

OUR LOCAL DEALER

OV AUTO FARM

OXMOOR FORD LINCOLN MERCURY

OXMOOR MAZDA

P & A MOBILITY ENTERPRISES INC

P S AUTO ENTERPRISES INC

PACE CAR

PALM BAY FORD

PALM BAY MOTORS

PALM BEACH AUTO DIRECT

PALM CHEVROLET OF GAINESVILLE

PALMETTO FORD

PALMETTO WHOLESALE MOTORS

PAQUET AUTO SALES

PARADISE MOTOR SPORTS

PARAMOUNT AUTO

PARK AUTO MALL, INC

PARKS AUTOMOTIVE, INC

PARKS CHEVROLET, INC

PARKWAY MOTORS INC

PATRIOT AUTOMOTIVE LLC

PATRIOT PRE-OWNED AUTOS LLC

PAUL CERAME KIA

PAYLESS MOTORS LLC

PC AUTO SALES LLC

PCT ENTERPRISES OF FLORIDA LLC

PEGGY’S AUTO SALES

PENLAND AUTOMOTIVE LLC

PENNINGTON AUTOMOTIVE

PENSACOLA AUTO BROKERS, INC

PEREZ SALES & SERVICE, INC

PERFORMANCE CHEVROLET BMW

PERFORMANCE CHRYSLER JEEP

PERFORMANCE CHRYSLER JEEP DODG

PERFORMANCE MOTOR COMPANY LLC

PERFORMANCE TOYOTA

PETE MOORE CHEVROLET, INC

PETERS AUTO SALES, INC.

PHILLIPS BUICK PONTIAC GMC INC

PHILLIPS CHRYSLER-JEEP, INC

DEALER NAME

PHILLIPS TOYOTA

PHOENIX MOTORS

PHOENIX SPECIALTY MOTORS CORP

PIEMONTES DUNDEE CHEVROLET

PIERSON AUTOMOTIVE

PILES CHEV-OLDS-PONT-BUICK

PINELLAS MOTORS INC

PINELLAS PARK AUTO INC

PINEVILLE IMPORTS

PINNACLE AUTO SALES

PLAINFIELD AUTO SALES, INC.

PLANET SUZUKI

PLATINA CARS AND TRUCKS INC

PLATINUM AUTO EXCHANGE INC

PLATINUM WHOLESALES LLC

PLATTE CITY AIRPORT CHRYSLER D

PLATTNER’S

PLAZA LINCOLN MERCURY

POGUE CHEVROLET INC

PORT MOTORS

PORTAL AUTOMOTIVE INC

POWER MOTORS LLC

POWER ON AUTO LLC

POWERBUY MOTORS

PRADO AUTO SALES

PRATHER AUTOMOTIVE

PREFERRED AUTO

PREFERRED TREATMENT AUTO SALES

PREMIER AUTO BROKERS, INC.

PREMIER AUTO GROUP

PREMIER AUTO MART, INC

PREMIER AUTO SALES

PREMIER AUTOMOTIVE GROUP INC

PREMIER AUTOMOTIVE OF BONNER

PREMIER AUTOWORKS SALES &

PREMIER DODGE CHRYSLER JEEP

PREMIER MOTORCAR GALLERY

PREMIERE MOTOR SPORTS LLC

PREMIUM AUTOS LLC

PREMIUM CARS OF MIAMI LLC

PRESPA AUTO SALES

PRESTIGE AUTO BROKERS

PRESTIGE AUTO EXCHANGE

PRESTIGE AUTO GROUP

DEALER NAME

PRESTIGE AUTO MALL

PRESTIGE AUTO SALES & RENTALS

PRESTON AUTO OUTLET

PRICE IS RIGHT AUTO SALES LLC

PRICE RIGHT STERLING HEIGHTS

PRICED RIGHT AUTO SALES LLC

PRICED RIGHT AUTO, INC.

PRICED RIGHT CARS, INC

PRIDE AUTO SALES

PRIME AUTO EXCHANGE

PRIME CARS & TRUCKS LLC

PRIME MOTORS INC

PRINCE AUTO SALES LLC

PRIORITY HONDA HUNTERSVILLE

PRISTINE CARS & TRUCKS INC

PRO SELECT AUTOS

PROCAR

PUBLIC AUTO BROKERS

Q AUTOMOTIVE BRANDON FL LLC

Q AUTOMOTIVE FT MYERS FL LLC

Q MOTORCARS INC

QUALITY AUTO BROKERS

QUALITY AUTO SALES OF FL LLC

QUALITY CARS INC

QUALITY IMPORTS

R & B CAR COMPANY

R & M HOLDINGS GROUP INC

R & R AUTO SALES AND REPAIRS

RACE WAY AUTO SALES INC

RADER CAR CO INC

RAMOS AUTO LLC

RAMSEY MOTORS

RANDY CURNOW AUTO PLAZA/RC

RANDY SHIRKS NORTHPOINTE AUTO

RANKL & RIES MOTORCARS, INC

RAP AUTOMOTIVE LLC

RAY CHEVROLET

RAY LAETHEM BUICK GMC INC

RAY PEARMAN LINCOLN MERCURY

RAY SKILLMAN EASTSIDE

RAY SKILLMAN WESTSIDE

RAYMOND CHEVROLET KIA

RCK AUTO SALES LLC

RE BARBER FORD INC

DEALER NAME

REALITY AUTO SALES INC

RED SHAMROCK LLC

REGAL PONTIAC, INC.

REGIONAL WHOLESALE

REICHARD BUICK PONTIAC, INC

REIDSVILLE NISSAN INC

REINEKE FORD LINCOLN MERCURY

RENEWIT CAR CARE

REVOLUTION MOTORS LLC

REXFORD AUTOMOTIVES

REYNOLDS AUTOMOTIVE LLC

RHOADES AUTOMOTIVE INCORPORATE

RHODES AUTO SALES

RICART FORD USED

RICE AUTO SALES

RICH AUTO SALES LTD

RICH FORD LINCOLN MERCURY

RICH MORTONS GLEN BURNIE

RICHARD HUGES AUTO SALES

RICHARD KAY AUTOMOTIVE

RICHMOND HONDA

RICK CASE CARS INC

RICK HENDRICK CHEVROLET

RICK HILL NISSAN INC

RIDE N DRIVE

RIDE TIME, INC.

RIGHT PRICE AUTO SALES OF

RIGHTWAY AUTOMOTIVE CREDIT

RIGHTWAY AUTOMOTIVE CREDIT

RIGHTWAY AUTOMOTIVE CREDIT

RIGHTWAY AUTOMOTIVE CREDIT

RITEWAY AUTO SALES

RIVER BEND FORD

RIVER CITY AUTO SALES INC

RIVERSIDE MOTORS, INC

RIVIERA AUTO SALES SOUTH INC

RJ’S AUTO SALES

ROAD MASTER AUTO GROUP INC

ROB PARTELO’S WINNERS

ROBERT-ROBINSON CHEVROLET

ROBERTS COMPANY MOTOR MART LLC

ROCK AUTO KC INC

DEALER NAME

ROCK BOTTOM AUTO SALES, INC.

ROCK ROAD AUTO PLAZA

ROD HATFIELD CHRYSLER DGE JEEP

ROGER WILSON MOTORS INC

ROME MOTOR SALES

RON’S RIDES INC

ROSE AUTOMOTIVE INC

ROSE CITY MOTORS

ROSE CITY MOTORS

ROSE CITY MOTORS

ROSEDALE AUTO SALES INC

ROSELLE MOTORS INC

ROSEN HYUNDAI ENTERPRISES LLC

ROSEN HYUNDAI OF ALGONQUIN LLC

ROSEN MAZDA

ROSEN MAZDA OF WAUKEGAN

ROSEVILLE CHRYSLER JEEP

ROSEWOOD AUTO SALES LLC

ROUEN CHRYSLER DODGE JEEP INC

ROUEN MOTORWORKS LTD

ROUTE 69 SALES, LLC

ROY O’BRIEN, INC

ROYAL AUTO SALES

ROYAL FAMILY MOTORS CANTON LLC

ROYAL FAMILY MOTORS INC

ROYAL OAK FORD SALES, INC.

RPM AUTO SALES

RYAN’S AUTO SALES

S & B AUTO BROKERS LLC

S & M AUTO BROKERS INC

S S & M AUTOMOTIVE

S S AUTO INC

SABISTON MCCABE AUTO SOLUTIONS

SALTON MOTOR CARS INC

SAM GALLOWAY FORD INC.

SAM MOTOR SPORTS INC

SAND MOUNTAIN TOYOTA

SANDOVAL BUICK GMC INC

SANDY SANSING FORD LINCOLN LLC

SANSING CHEVROLET, INC

SARASOTA FORD

SAVAGE AUTOMOTIVE GROUP

SAVANNAH AUTO

SAVANNAH AUTOMOTIVE GROUP

DEALER NAME

SAVANNAH HYUNDAI

SAVANNAH MOTORS INC

SAVANNAH TOYOTA & SCION

SAVANNAH VOLKSWAGEN

SC AUTO SALES

SCHAELL MOTORS

SCHIRRAS AUTO INC

SCOGGINS CHEVROLET OLDS BUICK

SCOTT CLARK HONDA

SCOTTI’S AUTO REPAIT AND SALES

SECOND CHANCE AUTO

SEHER ENTERPRISES INC

SELECT AUTO

SELECT AUTO GROUP LLC

SELECT AUTO NETWORK LLC

SELECT AUTO SALES

SELECT CARS OF CLEVELAND LLC

SELECT MOTORS OF TAMPA INC.

SENA MOTORS INC

SERRA VISSER NISSAN INC

SHAD MITSUBISHI

SHARP CARS OF INDY

SHAVER AUTOMOTIVE LLC

SHAVER MOTORS OF ALLEN CO INC

SHEARON’S AUTO SALES

SHEEHY FORD INC

SHEEHY GLEN BURNIE INC.

SHERDAN ENTERPRISES LLC

SHERMAN DODGE

SHOALS UNIVERSITY KIA

SHOOK AUTO INC

SHORELINE AUTO CENTER INC

SHORELINE AUTO GROUP OF IONIA

SHOW ME AUTO MALL INC

SHOWROOM AUTO SALES OF

SHUTT ENTERPRISES INC

SIGN & DRIVE AUTO SALES LLC

SIGN AND DRIVE AUTO GROUP WILK

SIGNATURE FORD LINCOLN MERCURY

SIGNATURE MOTORS USA LLC

SIMPLE AUTO IMPORTS

SINA AUTO SALES, INC.

SINCLAIR DAVE LINCOLN MERCURY

SKAGGS RV OUTLET LLC

DEALER NAME

SLT MOTORS LLC

SMART CHOICE AUTO GROUP

SMH AUTO

SOBH AUTOMOTIVE

SOLID AUTOS LLC

SOMERSET MOTORS

SONS HONDA

SOURCE AUTOMOTIVE INC

SOUTH BEACH MOTOR CARS

SOUTH CHARLOTTE PREOWNED AUTO

SOUTH MOTORS HONDA

SOUTH SUBURBAN MITSUBISHI

SOUTHEAST JEEP EAGLE

SOUTHERN CHOICE AUTO LLC

SOUTHERN COUNTRY INC

SOUTHERN KENTUCKY AUTO & TRK

SOUTHERN LUXURY CARS

SOUTHERN MOTOR COMPANY

SOUTHERN POINTE AUTOMOTIVE

SOUTHERN STAR AUTOMOTIVE

SOUTHERN STATES HYUNDAI

SOUTHFIELD JEEP-EAGLE, INC.

SOUTHPORT MOTORS

SOUTHTOWN MOTORS HOOVER

SOUTHTOWNE MOTORS OF NEWNAN

SOUTHWEST AUTO SALES

SOUTHWEST AUTOMOTIVE (SWAG)

SPACE & ROCKET AUTO SALES

SPARKS MOTORS LLC

SPARTANBURG CHRYSLER JEEP INC

SPEEDWAY AUTO SALES LLC

SPEEDWAY MOTORS, INC

SPIRIT CHEVROLET-BUICK INC.

SPIRIT FORD INC

SPITZER AUTOWORLD SHEFFIELD

SPITZER DODGE

SPITZER KIA

SPORTS AND IMPORTS, INC.

SPORTS CENTER IMPORTS INC

SRQ AUTO LLC

ST GEORGE AUTO BROKERS LLC

ST. PETERS AUTO GROUP LLC

STANFIELD AUTO SALES

STAN’S CAR SALES

DEALER NAME

STAR AUTO

STAR AUTO SALES

STAR MOTORS

STARGATE AUTO SALES LLC

STARK AUTO SALES

STARMOUNT MOTORS LLC

STARRS CARS AND TRUCKS, INC

STATELINE CHRYSLER DODGE JEEP

STEARNS MOTORS OF NAPLES

STEELY LEASE SALES

STEPHEN A FINN AUTO BROKER

STERLING AUTO SALES

STERLING AUTOMOTIVE LLC

STEVE JOHNSON AUTO WORLD INC

STEVE RAYMAN CHEVROLET, LLC

STEWART AUTO GROUP OF

STL CAR CREDIT

STOKES AUTOMOTIVE INC

STOKES BROWN TOYOTA SCION

STOKES BROWN TOYOTA SCION

STOKES HONDA CARS OF BEAUFORT

STOKES KIA

STOKES MAZDA

STOKES USED CAR CENTER

STONE MOUNTAIN NISSAN

SUBARU OF PORT RICHEY INC

SUBARU OF WICHITA LLC

SUBURBAN AUTO SALES

SUBURBAN CHRYSLER JEEP DODGE

SUCCESS AUTO

SUFFIELD MOTORS

SULLIVAN BUICK GMC INC

SUMMIT AUTO SALES CORP

SUMMIT CITY CHEVROLET, INC.

SUMMIT PLACE KIA

SUMMIT PLACE KIA MT. CLEMENS

SUMTER CARS & TRUCKS

SUN HONDA

SUN TOYOTA

SUNBELT’S FORD TWON OF ALBANY

SUNCOAST QUALITY CARS LLC

SUNDANCE CHEVROLET INC

SUNNY DAY AUTO SALES & SERVICE

SUNNY FLORIDA MOTORS, INC.

DEALER NAME

SUNNY KING TOYOTA

SUNRISE CHEVROLET

SUNSET MOTORS

SUNSHINE AUTO BROKERS INC

SUNTRUP HYUNDAI INC

SUNTRUP HYUNDAI WEST INC

SUNTRUP KIA OF WEST COUNTY

SUNTRUP NISSAN VOLKSWAGEN

SUPER AUTO SALES

SUPER CAR MIAMI LLC

SUPER DEAL AUTO SALES LLC

SUPERIOR ACURA

SUPERIOR BUICK GMC

SUPERIOR CHEVROLET

SUPERIOR HONDA

SUPERIOR HYUNDAI SOUTH

SUPERIOR MOTORS NORTH

SUPERIOR USED VEHICLES LLC

SUSAN SCHEIN CHRYSLER PLYMOUTH

SUTHERLAND CHEVROLET INC

SUTHERLIN NISSAN

SUTHERLIN NISSAN MALL OF GA.

SVG MOTORS LLC

SW PREMIER MOTOR GROUP INC

SWANNS RENTAL AND SALES INC

SWEENEY BUICK PONTIAC GMC

TAMERON AUTOMOTIVE GROUP

TAMIAMI FORD, INC.

TAMPA AUTO SOURCE INC

TARGET AUTOMOTIVE

TAYLOR AUTO SALES INC.

TAYLOR BUICK NISSAN INC

TAYLOR CHEVROLET INC

TAYLOR KIA OF LIMA

TAYLOR MORGAN INC

TD CAR SALES

TEAM AUTOMOTIVE

TEAM NISSAN OF MARIETTA

TED CIANOS USED CAR CENTER

TEDS AUTO SALES INC

TENA AUTOMOTIVE LLC

TENNESSEE AUTO GROUP & LEASING

TENNESSEE AUTOPLEX, LLC

TENNYSON CHEVROLET, INC.

DEALER NAME

TERRE HAUTE AUTO AND EQUIPMENT

TERRY LABONTE CHEVROLET

TERRY LEE HONDA

TESTAROSSA MOTORS

TEXAS AUTO SAVERS INC

TEXAS BAY AREA PRE-OWNED

TEXAS CAPITAL AUTO CREDIT

TEXAS CAPITAL AUTO SALES, INC

TEXAS PREOWNED AUTO GROUP

THE 3445 CAR STORE, INC.

THE AUTO BROKER

THE AUTO GROUP LLC

THE AUTO PARK INC

THE AUTO STORE

THE AUTO STORE

THE AUTO STORE

THE AUTO WAREHOUSE

THE AUTOBLOCK

THE BOULEVARD CAR LOT

THE CAR CABANA OF

THE CAR CENTER

THE CAR COMPANY

THE CAR COMPANY SUZUKI

THE CAR CONNECTION, INC.

THE CAR GUYS INC

THE CAR MAN LLC

THE CAR SHOPPE LLC

THE CAR STORE

THE CAR STORE

THE CAR STORE

THE CHEVY EXCHANGE

THE LAST FRONTIER AUTOS LLC

THE LUXURY AUTOHAUS INC.

THE MONTGOMERY GROUP LLC

THE REPO STORE

THE RITE CAR

THE SUPER AUTO OUTLET

THE USED CAR FACTORY INC

THOMAS & SON INC.

THOMASVILLE TOYOTA

THORNTON CHEVROLET, INC

THORNTON ROAD CHRYSLER DODGE

THORNTON ROAD HYUNDAI

THOROUGHBRED FORD INC

DEALER NAME

THREE RIVERS AUTOMOTIVE

THRIFTY CAR SALES

TIDE AUTOS INC

TILLMAN AUTO LLC

TIM FRENCH SUPER STORES, LLC

TIM SHORT PREMIERE USED CARS

TIM TOMLIN AUTOMOTIVE GROUP

TIME TO BUY LLC

TIMS AUTO SALES

TINPUSHER LLC

TK AUTO SALES LLC

TKP AUTO SALES

TKP AUTO SALES INC

TNT AUTO SALES INC

TOM GILL CHEVROLET

TOM HOLZER FORD

TOM TEPE AUTOCENTER INC

TOM WOOD FORD

TOM WOOD NISSAN, INC.

TOMLINSON MOTOR COMPANY OF

TONY ON WHEELS INC

TONY’S AUTO SALES OF

TONY’S AUTO WORLD

TOP CHOICE AUTO LLC

TOP NOTCH AUTO BROKERS INC

TOTAL CYCLE CARE INC

TOWN & COUNTRY AUTO & TRUCK

TOWN & COUNTRY AUTO SALES, LLC

TOWN & COUNTRY FORD, INC.

TOWN & COUNTRY FORD, INC.

TOWN & COUNTRY MOTORS II

TOWN CARS AUTO SALES

TOWNSEND FORD INC

TOWNSEND MOTORS, INC

TOWNSENDS MAGNOLIA

TOYOTA OF GASTONIA

TOYOTA OF GREENVILLE, INC

TOYOTA OF HOLLYWOOD

TOYOTA OF LAKEWOOD

TOYOTA OF LOUISVILLE, INC.

TOYOTA OF MCDONOUGH

TOYOTA OF MUNCIE

TOYOTA OF TAMPA BAY

TOYOTA ON NICHOLASVILLE

DEALER NAME

TOYOTA SOUTH/SCION SOUTH

TRADEWINDS MOTOR CENTER LLC

TRAVERS AUTOMOTIVE INC

TRI CITY MOTORS SUPERSTORE

TRI STATE USED AUTO SALES

TRIAD AUTO GROUP NC LLC

TRIAD AUTOPLEX

TRI-CITY AUTO MART

TRI-COUNTY MOTORS

TRINITY AUTOMOTIVE

TRIPLE C CAR CO., INC.

TRIPLE E AUTO LLC

TRISTATE AUTOMOTIVE GROUP INC

TROPICAL AUTO OUTLET

TROPICAL AUTO SALES

TROY FORD INC

TRUCK TOWN INC

TRUSSVILLE WHOLESALE AUTOS

TRUST CAPITAL AUTOMOTIVE GROUP

TRUST MOTORS LLC

TRUSTED MOTORS LLC

TSW FINANCIAL LLC

TUBBS AUTO SALES LLC

TUSCALOOSA WHOLESALE LLC

TWIN CITY CARS INC

TYSON MOTOR GROUP

U.S. AUTO GROUP, INC.

UCAR, INC.

U-DRIVE AUTO LLC

ULTIMATE IMAGE AUTO, INC

UNITED AUTO BROKERS

UNITED AUTO SALES

UNITED AUTO SALES AND

UNITED AUTO SALES OF FT PIERCE

UNITED LUXURY MOTORS LLC

UNITED MOTOR COMPANY INC

UNITED VEHICLE SALES

UNIVERSAL AUTO PLAZA

UNIVERSAL AUTO PLAZA LLC

UNIVERSITY CHRYSLER DODGE JEEP

UNIVERSITY HYUNDAI OF DECATUR

UNLIMITED AUTO GROUP INC

UNLIMITED AUTOMOTIVE

UPSTATE LIL BOYZ TOYZ LLC

DEALER NAME

US 1 CHRYSLER DODGE JEEP

US AUTO SALES AND SERVICE INC

US MOTOR SALES LLC

US OFF LEASE AUTOS

USA AUTO & LENDING INC

USA MOTORCARS

USA RV & AUTO SALES LLC

USED CAR SUPERMARKET

V & S AUTO SALES LLC

V & V AUTO CENTER INC

VA CARS INC

VADEN NISSAN, INC.

VAN PAEMEL SALES

VANN YORK BARGAIN CARS LLC

VANN YORK PONTIAC BUICK GMC

VANN YORK TOYOTA, INC

VANS AUTO SALES

VANTAGE MOTORS LLC

VARSITY LINCOLN MERCURY

VECTOR AUTOMOTIVE

VEHICLES 4 SALES, INC.

VELOCITY MOTORS INC

VENICE MOTORS SECOND, LLC

VERACITY MOTOR COMPANY LLC

VERACITY MOTOR COMPANY LLC

VESTAL PONTIAC BUICK GMC TRUCK

VESTAVIA HILLS AUTOMOTIVE

VIC BAILEY LINCOLN MERCURY

VICKERS AUTOMOTIVE INC

VICTORIA MOTORS, LLC

VICTORY AUTO INC

VILLAGE AUTO OUTLET INC

VILLAGE AUTO SALES

VILLAGE AUTOMOTIVE

VILLAGE MOTOR SALES, INC.

VINCE WHIBBS PONTIAC-GMC

VININGS ENTERPRISES INC

VIP AUTO ENTERPRISES INC

VIP AUTO GROUP, INC.

VIP AUTO MALL

VIP AUTO SALES LLC

VISION AUTO

VISION AUTO LLC

VIZION AUTO

DEALER NAME

VMARK CARS

VOGUE MOTOR CO INC

VOLKSWAGEN OF OCALA

VOLVO OF FT. MYERS

VOLVO OF OCALA

VOSS CHEVROLET INC

VULCAN MOTORS LLC

W & S AUTO CENTER INC

WABASH AUTO CARE INC

WADE FORD INC

WAGNER SUBARU

WALDROP MOTORS INC

WALLACE AUTOMOTIVE MANAGEMENT

WALLEYS AUTO SALES

WALLY’S WHEELS

WALTERBORO MOTOR SALES

WALT’S LIVE OAK FORD

WANTED WHEELS INC

WARSAW BUICK GMC

WASHINGTON AUTO GROUP

WAYNESVILLE AUTO MART

WEB AUTO BROKERS

WEBBER AUTOMOTIVE LLC

WEINE AUTO SALES EAST

WEINLE AUTO SALES

WESLEY CHAPEL NISSAN

WEST ALABAMA WHOLESALE

WEST CLAY MOTOR COMPANY LLC

WEST END AUTO SALES & SERVICE

WEST MAIN MOTORS

WESTERN AUTO SALES INC

WESTERN AVENUE NISSAN INC

WHEELS & DEALS AUTO SALES

WHEELS MOTOR SALES

WHITE ALLEN CHEVROLET SUBARU

WHITEWATER MOTOR COMPANY INC

WHITEWATER MOTORS INC

WHOLESALE, INC

WILDCAT AUTO SALES

WILLETT HONDA SOUTH

WILLS MOTOR SALES

WIN - WIN AUTO CENTER CORP

WINDY CITY MOTORSPORTS, INC

DEALER NAME

WISE MOTORS

WONDERGEM, INC

WOODBRIDGE MOTORS, INC.

WOODY ANDERSON FORD

WOODY BUICK GMC INC

WOODY SANDER FORD, INC.

WORLD AUTO NETWORK INC

WORLD AUTO, INC.

WORLD CAR CENTER & FINANCING

WORLD CLASS MOTORS LLC

WORLDWIDE MOTORS LLC

WORLEY AUTO SALES

WORRY FREE AUTO GROUP, LLC

WOW CAR COMPANY

WRIGHT’S AUTO SALES

XL1 MOTORSPORTS, INC

XPRESS AUTO MALL

XTREME CARS & TRUX LLC

XTREME MOTORS INC

YARK AUTOMOTIVE GROUP, INC

YES AUTO SALES INC

YOU SELECT AUTO SALES LLC

YOUR DEAL AUTOMOTIVE

YOUR KAR CO INC

YPSILANTIS IMPORT AUTO SALES

Z AUTO PLACE

Z IMPORTS SALES & SERVICE INC

ZAPPIA MOTORS

ZEIGLER CHRYSLER DODGE JEEP

ZONEMOTORS COM INC

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO RULE 13A-14(A) OF THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Ralph T. Finkenbrink, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Nicholas Financial, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal controls over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f))for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: February 09, 2016	/s/Ralph T. Finkenbrink
	Ralph T. Finkenbrink
	President and Chief Executive Officer
	(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO RULE 13A-14(A) OF THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Katie L. MacGillivary certify that:

1. I have reviewed this quarterly report on Form 10-Q of Nicholas Financial, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e) and internal controls over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: February 09, 2016	/s/Katie L. MacGillivary
	Katie L. MacGillivary
	Vice President and Chief Financial Officer
	(Principal Financial Officer)

EX-32.1

EXHIBIT 32.1

CERTIFICATION OF THE CHIEF EXECUTIVE OFFICER

Pursuant to 18 U.S.C. § 1350

Solely for the purpose of complying with 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, I, the undersigned President and Chief Executive Officer of Nicholas Financial, Inc. (the “Company”), hereby certify that the Quarterly Report on Form 10-Q of the Company for the nine months ended December 31, 2015 (the “Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/Ralph T. Finkenbrink

Ralph T. Finkenbrink

President and Chief Executive Officer

Dated: February 09, 2016

EX-32.2

EXHIBIT 32.2

CERTIFICATION OF THE CHIEF FINANCIAL OFFICER

Pursuant to 18 U.S.C. § 1350

Solely for the purpose of complying with 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, I, the undersigned Vice President and Chief Financial Officer of Nicholas Financial, Inc. (the “Company”), hereby certify that the Quarterly Report on Form 10-Q of the Company for the nine months ended December 31, 2015 (the “Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/Katie L. MacGillivary

Katie L. MacGillivary

Vice President and Chief Financial Officer

Dated: February 09, 2016

XML

Document and Entity Information - shares	9 Months Ended
	Dec. 31, 2015	Feb. 01, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	NICHOLAS FINANCIAL INC
Entity Central Index Key	0001000045
Trading Symbol	nick
Current Fiscal Year End Date	--03-31
Entity Filer Category	Accelerated Filer
Entity Common Stock Shares Outstanding		12,463,285
Document Type	10-Q
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q3

XML

Consolidated Balance Sheets - USD ($)	Dec. 31, 2015	Mar. 31, 2015
Assets
Cash	$ 3,005,807	$ 3,388,193
Finance receivables, net	310,314,093	288,904,060
Assets held for resale	1,931,962	1,746,887
Income taxes receivable	418,597	112,984
Prepaid expenses and other assets	772,283	1,143,754
Property and equipment, net	1,380,234	872,134
Interest rate swap agreements	6,487
Deferred income taxes	6,656,941	6,360,579
Total assets	324,486,404	302,528,591
Liabilities and shareholders' equity
Line of credit	213,000,000	199,000,000
Drafts payable	1,999,285	2,475,573
Interest rate swap agreements	59,092	180,775
Accounts payable and accrued expenses	5,638,824	7,841,070
Deferred revenues	3,799,980	3,143,231
Total liabilities	$ 224,497,181	$ 212,640,649
Shareholders' equity
Preferred stock, no par: 5,000,000 shares authorized; none issued
Common stock, no par: 50,000,000 shares authorized; 12,463,285 and 12,415,785 shares issued, respectively; and 7,749,481 and 7,701,981 shares outstanding, respectively	$ 33,153,177	$ 32,655,130
Treasury stock: 4,713,804 common shares, at cost	(70,459,323)	(70,408,854)
Retained earnings	137,295,369	127,641,666
Total shareholders' equity	99,989,223	89,887,942
Total liabilities and shareholders' equity	$ 324,486,404	$ 302,528,591

XML

Consolidated Balance Sheets (Parentheticals) - $ / shares	Dec. 31, 2015	Mar. 31, 2014
Statement of Financial Position [Abstract]
Preferred stock, no par value (in dollars per share)
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Common stock, no par value (in dollars per share)
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	12,463,285	12,415,785
Common stock, shares outstanding	7,749,481	7,701,981
Treasury stock, shares	4,713,804

XML

Consolidated Statements of Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Income Statement [Abstract]
Interest and fee income on finance receivables	$ 22,757,325	$ 21,800,765	$ 67,469,297	$ 64,856,351
Expenses:
Marketing	384,021	333,813	1,140,326	1,196,069
Salaries and employee benefits	5,539,203	5,100,035	16,623,037	15,441,864
Professional Fees	306,331	314,124	1,131,273	1,124,912
Administrative	2,323,162	2,422,678	7,175,237	7,272,577
Provision for credit losses	7,599,189	5,796,648	18,765,745	15,182,698
Depreciation	120,023	92,070	333,742	276,194
Interest expense	2,310,848	1,457,919	6,750,471	4,391,697
Change in fair value of interest rate swap agreements	(250,798)	144,999	(128,170)	105,878
Total operating expenses	18,331,979	15,662,286	51,791,661	44,991,889
Operating income before income taxes	4,425,346	6,138,479	15,677,636	19,864,462
Income tax expense	1,698,445	2,368,923	6,023,933	6,856,017
Net income	$ 2,726,901	$ 3,769,556	$ 9,653,703	$ 13,008,445
Earnings per share:
Basic (in dollars per share)	$ 0.36	$ 0.31	$ 1.27	$ 1.07
Diluted (in dollars per share)	$ 0.35	$ 0.30	$ 1.24	$ 1.05

XML

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Cash flows from operating activities
Net income	$ 9,653,703	$ 13,008,445
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	333,742	276,194
(Gain) loss on sale of property and equipment	(12,247)	6,691
Provision for credit losses	18,765,745	15,182,698
Amortization of dealer discounts	(9,885,851)	(10,204,562)
Deferred income taxes	(296,362)	270,675
Share-based compensation	416,335	382,883
Change in fair value of interest rate swap agreements	(128,170)	105,878
Changes in operating assets and liabilities:
Prepaid expenses and other assets	396,471	13,280
Accounts payable and accrued expenses	(2,202,246)	(2,572,286)
Income taxes (receivable) and payable	(305,613)	447,340
Deferred revenues	656,749	574,862
Net cash provided by operating activities	17,392,256	17,492,098
Cash flows from investing activities
Purchase and origination of finance receivables	(131,416,115)	(119,758,892)
Principal payments received	101,126,188	101,279,098
Increase in assets held for resale	(185,075)	(345,644)
Purchase of property and equipment	(877,677)	(377,859)
Proceeds from sale of property and equipment	48,082	58,319
Net cash used in investing activities	(31,304,597)	(19,144,978)
Cash flows from financing activities
Net draws on line of credit	14,000,000	2,100,000
Change in drafts payable	(476,288)	(669,956)
Payment of debt costs	(25,000)
Expenses related to prior purchase of treasury shares	(50,469)
Proceeds from exercise of stock options	75,946	154,575
Excess tax benefits from share-based compensation	5,766	69,016
Net cash provided by financing activities	13,529,955	1,653,635
Net (decrease) increase in cash	(382,386)	755
Cash, beginning of period	3,388,193	2,635,036
Cash, end of period	$ 3,005,807	$ 2,635,791

XML

Basis of Presentation

9 Months Ended

Dec. 31, 2015

Organization, Consolidation and Presentation Of Financial Statements [Abstract]

Basis of Presentation

1. Basis of Presentation

The accompanying consolidated balance sheet as of March 31, 2015, which has been derived from audited financial statements, and the accompanying unaudited interim consolidated financial statements of Nicholas Financial, Inc. (including its subsidiaries, the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q pursuant to the Securities and Exchange Act of 1934, as amended in Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements, although the Company believes that the disclosures made are adequate to ensure the information is not misleading. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for interim periods are not necessarily indicative of the results that may be expected for the year ending March 31, 2016. It is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and accompanying notes thereto included in the Company’s Annual Report on Form 10-K for the year ended March 31, 2015 as filed with the Securities and Exchange Commission on June 15, 2015. The March 31, 2015 consolidated balance sheet included herein has been derived from the March 31, 2015 audited consolidated balance sheet included in the aforementioned Form 10-K.

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses on finance receivables and the fair value of interest rate swap agreements.

XML

Revenue Recognition

9 Months Ended

Dec. 31, 2015

Deferred Revenue Disclosure [Abstract]

Revenue Recognition

2. Revenue Recognition

Finance receivables consist of automobile finance installment contracts (“Contracts”) and direct consumer loans (“Direct Loans”). Interest income on finance receivables is recognized using the interest method. Accrual of interest income on finance receivables is suspended when a loan enters bankruptcy status, is contractually delinquent for 60 days or more or the collateral is repossessed, whichever is earlier. Chapter 13 bankrupt accounts are accounted for under the cost-recovery method. Interest income on Chapter 13 bankrupt accounts does not resume until all principal amounts are recovered (see Note 4).

A dealer discount represents the difference between the finance receivable, net of unearned interest, of a Contract, and the amount of money the Company actually pays for the Contract. The discount negotiated by the Company is a function of the lender, the wholesale value of the vehicle and competition in any given market. In making decisions regarding the purchase of a particular Contract the Company considers the following factors related to the borrower: place and length of residence; current and prior job status; history in making installment payments for automobiles; current income; and credit history. In addition, the Company examines its prior experience with Contracts purchased from the dealer from which the Company is purchasing the Contract, and the value of the automobile in relation to the purchase price and the term of the Contract. The entire amount of discount is amortized as an adjustment to yield using the interest method over the life of the loan. The average dealer discount associated with new volume for the three months ended December 31, 2015 and 2014 was 7.59% and 8.04%, respectively in relation to the total amount financed. The average dealer discount associated with new volume for the nine months ended December 31, 2015 and 2014 was 7.56% and 8.13%, respectively in relation to the total amount financed.

Gross finance receivables represent principal balance plus unearned income, excluding unearned income from Chapter 13 bankrupt accounts. The amount of future unearned income is computed as the product of the Contract rate, the Contract term, and the Contract amount.

Deferred revenues consist primarily of commissions received from the sale of ancillary products. These products include automobile warranties, roadside assistance programs, accident and health insurance, credit life insurance, and involuntary unemployment insurance. These commissions are amortized over the life of the contract using the interest method.

The Company’s net costs for originating direct loans are recognized as an adjustment to the yield and are amortized over the life of the loan using the interest method.

XML

Earnings Per Share

9 Months Ended

Dec. 31, 2015

Earnings Per Share [Abstract]

Earnings Per Share

3. Earnings Per Share

Basic earnings per share is calculated by dividing the reported net income for the period by the weighted average number of shares of common stock outstanding. Diluted earnings per share includes the effect of dilutive options and other share awards. Basic and diluted earnings per share have been computed as follows:

	Three months ended December 31,				Nine months ended December 31,
	2015		2014		2015		2014
Numerator for earnings per share – net income	$	2,726,901	$	3,769,556	$	9,653,703	$	13,008,445
Denominator:
Denominator for basic earnings per share – weighted average shares		7,622,981		12,197,125		7,620,423		12,188,778
Effect of dilutive securities:
Stock options and other share awards		148,404		178,214		157,141		183,220
Denominator for diluted earnings per share		7,771,385		12,375,339		7,777,564		12,371,998
Earnings per share:
Basic	$	0.36	$	0.31	$	1.27	$	1.07
Diluted	$	0.35	$	0.30	$	1.24	$	1.05

For the three months ended December 31, 2015 and 2014, potential shares of common stock from stock options totaling 165,000 and 130,870, respectively, were not included in the diluted earnings per share calculation because their effect is anti-dilutive. For the nine months ended December 31, 2015 and 2014, potential shares of common stock from stock options totaling 160,091 and 83,036, respectively, were not included in the diluted earnings per share calculation because their effect is anti-dilutive. Please see Note 10 – “Tender Offer” for information regarding the decrease of the weighted average shares for the three and nine months ended December 31, 2015.

XML

Finance Receivables

9 Months Ended

Dec. 31, 2015

Receivables [Abstract]

Finance Receivables

4. Finance Receivables

Finance receivables consist of automobile finance installment Contracts and Direct Loans and are detailed as follows:

	December 31,			March 31,
	2015			2015
Finance receivables, gross contract	$	494,808,526		$	457,974,758
Unearned interest		(153,498,759	)		(139,262,996	)
Finance receivables, net of unearned interest		341,309,767			318,711,762
Unearned dealer discounts		(18,633,833	)		(17,779,690	)
Finance receivables, net of unearned interest and unearned dealer discounts		322,675,934			300,932,072
Allowance for credit losses		(12,361,841	)		(12,028,012	)
Finance receivables, net	$	310,314,093		$	288,904,060

The terms of the Contracts range from 12 to 72 months and the Direct Loans range from 12 to 60 months. The Contracts and Direct Loans bear a weighted average effective interest rate of 22.71% and 25.75% as of December 31, 2015, respectively and 22.86% and 26.14% as of March 31, 2015, respectively.

Finance receivables consist of Contracts and Direct Loans, each of which comprises a portfolio segment. Each portfolio segment consists of smaller balance homogeneous loans which are collectively evaluated for impairment.

The following table sets forth a reconciliation of the changes in the allowance for credit losses on Contracts:

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Balance at beginning of period	$	10,953,844		$	11,942,694		$	11,325,222		$	12,889,082
Current period provision		7,437,522			5,658,695			18,402,211			14,799,782
Losses absorbed		(7,583,543	)		(6,948,034	)		(20,453,767	)		(18,844,447	)
Recoveries		694,452			682,830			2,228,609			2,491,768
Balance at end of period	$	11,502,275		$	11,336,185		$	11,502,275		$	11,336,185

The Company purchases Contracts from automobile dealers at a negotiated price that is less than the original principal amount being financed by the purchaser of the automobile. The Contracts are predominately for used vehicles. As of December 31, 2015, the average model year of vehicles collateralizing the portfolio was a 2007 vehicle. The average loan to value ratio, which expresses the amount of the Contract as a percentage of the value of the automobile, is approximately 97%. The Company utilizes a static pool approach to track portfolio performance. If the allowance for credit losses is determined to be inadequate for a static pool, then an additional charge to income through the provision is used to maintain adequate reserves based on management’s evaluation of the risk inherent in the loan portfolio, the composition of the portfolio, and current economic conditions. Such evaluation, considers among other matters, the estimated net realizable value of the underlying collateral, economic conditions, historical loan loss experience, management’s estimate of probable credit losses and other factors that warrant recognition in providing for an adequate allowance for credit losses.

The following table sets forth a reconciliation of the changes in the allowance for credit losses on Direct Loans:

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Balance at beginning of period	$	779,921		$	734,500		$	702,789		$	590,278
Current period provision		161,667			137,953			363,534			382,916
Losses absorbed		(83,454	)		(82,948	)		(223,740	)		(202,063	)
Recoveries		1,432			3,403			16,983			21,777
Balance at end of period	$	859,566		$	792,908		$	859,566		$	792,908

Direct Loans are originated directly between the Company and the consumer. These loans are typically for amounts ranging from $1,000 to $9,000 and are generally secured by a lien on an automobile, watercraft or other permissible tangible personal property. The majority of Direct Loans are originated with current or former customers under the Company’s automobile financing program. The typical Direct Loan represents a significantly better credit risk than our typical Contract due to the customer’s historical payment history with the Company. In deciding whether or not to make a loan, the Company considers the individual’s credit history, job stability, income and impressions created during a personal interview with a Company loan officer. Additionally, because most of Direct Loans made by the Company to date have been made to borrowers under Contracts previously purchased by the Company, the payment history of the borrower under the Contract is a significant factor in making the loan decision. As of December 31, 2015, loans made by the Company pursuant to its Direct Loan program constituted approximately 2% of the aggregate principal amount of the Company’s loan portfolio.

Changes in the allowance for credit losses for both Contracts and Direct Loans were driven by current economic conditions and trends over several reporting periods which are useful in estimating future losses and overall portfolio performance.

A performing account is defined as an account that is less than 61 days past due. A non-performing account is defined as an account that is contractually delinquent for 61 days or more and the accrual of interest income is suspended. When an account is 120 days contractually delinquent, the account is written off. Upon notification of a Chapter 13 bankruptcy, an account is monitored for collection with other Chapter 13 bankrupt accounts. In the event the debtors balance has been reduced by the bankruptcy court, the Company will record a loss equal to the amount of principal balance reduction. The remaining balance will be reduced as payments are received by the bankruptcy court. In the event an account is dismissed from bankruptcy, the Company will decide, based on several factors, to begin repossession proceedings or to allow the customer to begin making regularly scheduled payments.

The following table is an assessment of the credit quality by creditworthiness:

	December 31, 2015				December 31, 2014
	Contracts		Direct Loans		Contracts		Direct Loans
Performing accounts	$	467,285,487	$	11,931,941	$	422,592,527	$	11,575,091
Non-performing accounts		11,111,916		100,393		9,284,558		105,818
Total	$	478,397,403	$	12,032,334	$	431,877,085	$	11,680,909
Chapter 13 bankrupt accounts		4,340,698		38,091		3,872,186		26,774
Finance receivables, gross contract	$	482,738,101	$	12,070,425	$	435,749,271	$	11,707,683

The following tables present certain information regarding the delinquency rates experienced by the Company with respect to Contracts and under its Direct Loans, excluding Chapter 13 bankrupt accounts:

Contracts	Gross Balance Outstanding		31 – 60 days			61 – 90 days			Over 90 days			Total
December 31, 2015	$	478,397,403	$	23,970,608		$	7,029,791		$	4,082,125		$	35,082,524
				5.01	%		1.47	%		0.85	%		7.33	%
December 31, 2014	$	431,877,085	$	21,749,891		$	6,103,607		$	3,180,951		$	31,034,449
				5.04	%		1.41	%		0.74	%		7.19	%
Direct Loans	Gross Balance Outstanding		31 – 60 days			61 – 90 days			Over 90 days			Total
December 31, 2015	$	12,032,334	$	211,921		$	63,543		$	36,850		$	312,314
				1.76	%		0.53	%		0.31	%		2.60	%
December 31, 2014	$	11,680,909	$	164,347		$	59,043		$	46,776		$	270,166
				1.40	%		0.51	%		0.40	%		2.31	%

XML

Line of Credit

9 Months Ended

Dec. 31, 2015

Line Of Credit Facility [Abstract]

Line of Credit

5. Line of Credit

The Company has a line of credit facility (the “Line”) up to $225,000,000. The pricing of the Line, which expires on January 30, 2018, is 300 basis points above 30-day LIBOR with a 1% floor on LIBOR (4.00% at December 31, 2015 and March 31, 2015). Pledged as collateral for this Line are all of the assets of the Company. The outstanding amount of the Line was $213,000,000 and $199,000,000 as of December 31, 2015 and March 31, 2015, respectively. The amount available under the Line was approximately $12,000,000 and $26,000,000 as of December 31, 2015 and March 31, 2015, respectively.

The facility requires compliance with certain financial ratios and covenants and satisfaction of specified financial tests, including maintenance of asset quality and performance tests. Dividends do not require consent in writing by the agent and majority lenders under the new facility as long as the Company is in compliance with a net income covenant. As of December 31, 2015, the Company was in full compliance with all debt covenants.

XML

Interest Rate Swap Agreements

9 Months Ended

Dec. 31, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Interest Rate Swap Agreements

6. Interest Rate Swap Agreements

The Company utilizes interest rate swap agreements to manage exposure to variability in expected cash flows attributable to interest rate risk. The interest rate swap agreements convert a portion of the floating rate debt to a fixed rate, more closely matching the interest rate characteristics of finance receivables.

As of the nine months ended December 31, 2015 and 2014 no new contracts were initiated and no contracts matured.

The Company currently has two interest rate swap agreements. A June 4, 2012 interest rate swap agreement provides for a five-year interest rate swap in which the Company pays a fixed rate of 1% and receives payments from the counterparty on the 1-month LIBOR rate. This interest rate swap agreement had an effective date of June 13, 2012 and a notional amount of $25,000,000. A July 30, 2012 agreement provides for a five-year interest rate swap in which the Company pays a fixed rate of 0.87% and receives payments from the counterparty on the 1-month LIBOR rate. This interest rate swap agreement had an effective date of August 13, 2012 and a notional amount of $25,000,000.

The locations and amounts of (gains) losses in income are as follows:

	Three months ended December 31,					Nine months ended December 31,
	2015			2014		2015			2014
Periodic change in fair value of interest rate swap agreements	$	(250,798	)	$	144,999	$	(128,170	)	$	105,878
Periodic settlement differentials included in interest expense		89,360			98,517		278,838			297,355
Total	$	(161,438	)	$	243,516	$	150,668		$	403,233

Net realized gains and losses from the interest rate swap agreements were recorded in the interest expense line item of the consolidated statements of income. The following table summarizes the average variable rates received and average fixed rates paid under the swap agreements.

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Variable rate received		0.24	%		0.16	%		0.21	%		0.15	%
Fixed rate paid		0.94	%		0.94	%		0.94	%		0.94	%

XML

Income Taxes

9 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Income Taxes

7. Income Taxes

The provision for income taxes decreased to approximately $1.7 million for the three months ended December 31, 2015 from approximately $2.4 million for the three months ended December 31, 2014. The Company’s effective tax rate decreased to 38.38% for the three months ended December 31, 2015 from 38.59% for the three months ended December 31, 2014. The provision for income taxes decreased to approximately $6.0 million for the nine months ended December 31, 2015 from approximately $6.9 million for the nine months ended December 31, 2014. The Company’s effective tax rate increased to 38.42% for the nine months ended December 31, 2015 from 34.51% for the nine months ended December 31, 2014. The effective tax rate for the nine months ended December 31, 2014 was unusually low due to certain professional fees totaling approximately $1.2 million associated with the potential sale of the Company becoming deductible during the three months ended June 30, 2014 when the Arrangement Agreement was terminated.

XML

Fair Value Disclosures

9 Months Ended

Dec. 31, 2015

Fair Value Disclosures [Abstract]

Fair Value Disclosures

8. Fair Value Disclosures

The Company measures specific assets and liabilities at fair value, which is an exit price, representing the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When applicable, the Company utilizes market data or assumptions that market participants would use in pricing the asset or liability under a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs about which little or no market data exists, therefore requiring an entity to develop its own assumptions.

Assets and Liabilities Recorded at Fair Value on a Recurring Basis

The Company estimates the fair value of interest rate swap agreements based on the estimated net present value of the future cash flows using a forward interest rate yield curve in effect as of the measurement period, adjusted for nonperformance risk, if any, including a quantitative and qualitative evaluation of both the Company’s credit risk and the counterparty’s credit risk. Accordingly, the Company classifies interest rate swap agreements as Level 2.

	Fair Value Measurement Using
Description	Level 1		Level 2			Level 3		Fair Value
Interest rate swap agreements:
December 31, 2015 – asset:	$	0	$	6,487		$	0	$	6,487
December 31, 2015 – liability:	$	0	$	(59,092	)	$	0	$	(59,092	)
March 31, 2015 – liabilities:	$	—	$	(180,775	)	$	—	$	(180,775	)

Financial Instruments Not Measured at Fair Value

The Company’s financial instruments consist of cash, finance receivables and the Line. For finance receivables and the Line- the carrying value approximates fair value.

Finance receivables, net approximates fair value based on the price paid to acquire indirect loans. The price paid reflects competitive market interest rates and purchase discounts for the Company’s chosen credit grade in the economic environment. This market is highly liquid as the Company acquires individual loans on a daily basis from dealers. The initial terms of the Contracts range from 12 to 72 months. The initial terms of the Direct Loans range from 12 to 60 months. In addition, there have been minimal changes in interest rates and purchase discounts related to these types of loans. If liquidated outside of the normal course of business, the amount received may not be the carrying value.

Based on current market conditions, any new or renewed credit facility would contain pricing that approximates the Company’s current Line. Based on these market conditions, the fair value of the Line as of December 31, 2015 was estimated to be equal to the book value. The interest rate for the Line is a variable rate based on LIBOR pricing options.

	Fair Value Measurement Using
Description	Level 1		Level 2		Level 3		Fair Value
Finance receivables:
December 31, 2015	$	0	$	0	$	310,314,000	$	310,314,000
March 31, 2015	$	—	$	—	$	288,904,000	$	288,904,000
Line of credit:
December 31 , 2015	$	0	$	213,000,000	$	0	$	213,000,000
March 31, 2015	$	—	$	199,000,000	$	—	$	199,000,000

Assets and Liabilities Recorded at Fair Value on a Nonrecurring Basis

The Company may be required, from time to time, to measure certain assets and liabilities at fair value on a nonrecurring basis. The Company does not currently have any assets or liabilities measured at fair value on a nonrecurring basis.

XML

Contingencies

9 Months Ended

Dec. 31, 2015

Commitments and Contingencies Disclosure [Abstract]

Contingencies

9. Contingencies

The Company currently is not a party to any pending legal proceedings other than ordinary routine litigation incidental to its business, none of which, if decided adversely to the Company, would, in the opinion of management, have a material adverse effect on the Company’s financial condition or results of operations.

XML

Tender Offer

9 Months Ended

Dec. 31, 2015

Tender Offer [Abstract]

Tender Offer

10. Tender Offer

On March 19, 2015, the Company announced the final results of the modified “Dutch auction” tender offer for the purchase of approximately 4.7 million shares of the Company’s common shares by its principal operating subsidiary. The tender offer expired on March 13, 2015. Total payments for common shares, including costs were approximately $70,459,000. Such costs were recorded as an increase to treasury stock, reducing shareholders’ equity.

The aggregate number of common shares purchased in the tender offer by Nicholas represented approximately 38.0% of the Company’s outstanding common shares as of March 17, 2015. Following settlement of the tender offer, the Company had approximately 7,701,981 common shares outstanding.

XML

Recently Issued Accounting Standards

9 Months Ended

Dec. 31, 2015

Accounting Changes and Error Corrections [Abstract]

Recently Issued Accounting Standards

11. Recently Issued Accounting Standards

In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments—Recognition and Measurement of Financial Assets and Liabilities, which is intended to improve the recognition and measurement of financial instruments by requiring: equity investments (other than equity method or consolidation) to be measured at fair value with changes in fair value recognized in net income; public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (i.e., securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; eliminating the requirement to disclose the fair value of financial instruments measured at amortized cost for organizations that are not public business entities; eliminating the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; and requiring a reporting organization to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk (also referred to as “own credit”) when the organization has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. This ASU is effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. This ASU permits early adoption of the instrument-specific credit risk provision. Management is still currently evaluating the impact of the pending adoption of this ASU on the Company’s Consolidated Condensed Financial Statements.

In April 2015, the FASB issued ASU No. 2015-03, “Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The amendments in this ASU require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. In August 2015, the FASB issued ASU No. 2015-15, since 2015-03 did not address presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements. The SEC staff indicated they would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption of the amendments is permitted.The Company does not believe the adoption of this ASU will have a significant impact on the consolidated financial statements.

In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”. The ASU requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The standard permits the use of either the retrospective or cumulative effect transition method. On July 9, 2015, the FASB approved the deferral of the effective date of ASU 2014-09 by one year. As a result, ASU 2014-09 will be effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. The ASU would permit public entities to adopt the ASU early, but not before the original effective date (i.e., annual periods beginning after December 15, 2016). Management has not yet selected a transition method and is currently evaluating the impact of the pending adoption of this ASU on the Company’s Consolidated Condensed Financial Statements.

The Company does not believe there are any other recently issued accounting standards that have not yet been adopted that will have a material impact on the Company’s consolidated financial statements.

XML

Accounting Policies (Policies)

9 Months Ended

Dec. 31, 2015

Accounting Policies [Abstract]

Basis of Presentation

1. Basis of Presentation

The accompanying consolidated balance sheet as of March 31, 2015, which has been derived from audited financial statements, and the accompanying unaudited interim consolidated financial statements of Nicholas Financial, Inc. (including its subsidiaries, the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q pursuant to the Securities and Exchange Act of 1934, as amended in Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements, although the Company believes that the disclosures made are adequate to ensure the information is not misleading. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for interim periods are not necessarily indicative of the results that may be expected for the year ending March 31, 2016. It is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and accompanying notes thereto included in the Company’s Annual Report on Form 10-K for the year ended March 31, 2015 as filed with the Securities and Exchange Commission on June 15, 2015. The March 31, 2015 consolidated balance sheet included herein has been derived from the March 31, 2015 audited consolidated balance sheet included in the aforementioned Form 10-K.

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses on finance receivables and the fair value of interest rate swap agreements.

Revenue Recognition

2. Revenue Recognition

Finance receivables consist of automobile finance installment contracts (“Contracts”) and direct consumer loans (“Direct Loans”). Interest income on finance receivables is recognized using the interest method. Accrual of interest income on finance receivables is suspended when a loan enters bankruptcy status, is contractually delinquent for 60 days or more or the collateral is repossessed, whichever is earlier. Chapter 13 bankrupt accounts are accounted for under the cost-recovery method. Interest income on Chapter 13 bankrupt accounts does not resume until all principal amounts are recovered (see Note 4).

A dealer discount represents the difference between the finance receivable, net of unearned interest, of a Contract, and the amount of money the Company actually pays for the Contract. The discount negotiated by the Company is a function of the lender, the wholesale value of the vehicle and competition in any given market. In making decisions regarding the purchase of a particular Contract the Company considers the following factors related to the borrower: place and length of residence; current and prior job status; history in making installment payments for automobiles; current income; and credit history. In addition, the Company examines its prior experience with Contracts purchased from the dealer from which the Company is purchasing the Contract, and the value of the automobile in relation to the purchase price and the term of the Contract. The entire amount of discount is amortized as an adjustment to yield using the interest method over the life of the loan. The average dealer discount associated with new volume for the three months ended December 31, 2015 and 2014 was 7.59% and 8.04%, respectively in relation to the total amount financed. The average dealer discount associated with new volume for the nine months ended December 31, 2015 and 2014 was 7.56% and 8.13%, respectively in relation to the total amount financed.

Gross finance receivables represent principal balance plus unearned income, excluding unearned income from Chapter 13 bankrupt accounts. The amount of future unearned income is computed as the product of the Contract rate, the Contract term, and the Contract amount.

Deferred revenues consist primarily of commissions received from the sale of ancillary products. These products include automobile warranties, roadside assistance programs, accident and health insurance, credit life insurance, and involuntary unemployment insurance. These commissions are amortized over the life of the contract using the interest method.

The Company’s net costs for originating direct loans are recognized as an adjustment to the yield and are amortized over the life of the loan using the interest method.

Recently Issued Accounting Standards

11. Recently Issued Accounting Standards

In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments—Recognition and Measurement of Financial Assets and Liabilities, which is intended to improve the recognition and measurement of financial instruments by requiring: equity investments (other than equity method or consolidation) to be measured at fair value with changes in fair value recognized in net income; public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (i.e., securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; eliminating the requirement to disclose the fair value of financial instruments measured at amortized cost for organizations that are not public business entities; eliminating the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; and requiring a reporting organization to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk (also referred to as “own credit”) when the organization has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. This ASU is effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. This ASU permits early adoption of the instrument-specific credit risk provision. Management is still currently evaluating the impact of the pending adoption of this ASU on the Company’s Consolidated Condensed Financial Statements.

In April 2015, the FASB issued ASU No. 2015-03, “Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The amendments in this ASU require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. In August 2015, the FASB issued ASU No. 2015-15, since 2015-03 did not address presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements. The SEC staff indicated they would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption of the amendments is permitted.The Company does not believe the adoption of this ASU will have a significant impact on the consolidated financial statements.

In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”. The ASU requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The standard permits the use of either the retrospective or cumulative effect transition method. On July 9, 2015, the FASB approved the deferral of the effective date of ASU 2014-09 by one year. As a result, ASU 2014-09 will be effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. The ASU would permit public entities to adopt the ASU early, but not before the original effective date (i.e., annual periods beginning after December 15, 2016). Management has not yet selected a transition method and is currently evaluating the impact of the pending adoption of this ASU on the Company’s Consolidated Condensed Financial Statements.

The Company does not believe there are any other recently issued accounting standards that have not yet been adopted that will have a material impact on the Company’s consolidated financial statements.

XML

Earnings Per Share (Tables)

9 Months Ended

Dec. 31, 2015

Earnings Per Share [Abstract]

Schedule of computation of basic and diluted earnings per share

	Three months ended December 31,				Nine months ended December 31,
	2015		2014		2015		2014
Numerator for earnings per share – net income	$	2,726,901	$	3,769,556	$	9,653,703	$	13,008,445
Denominator:
Denominator for basic earnings per share – weighted average shares		7,622,981		12,197,125		7,620,423		12,188,778
Effect of dilutive securities:
Stock options and other share awards		148,404		178,214		157,141		183,220
Denominator for diluted earnings per share		7,771,385		12,375,339		7,777,564		12,371,998
Earnings per share:
Basic	$	0.36	$	0.31	$	1.27	$	1.07
Diluted	$	0.35	$	0.30	$	1.24	$	1.05

XML

Finance Receivables (Tables)

9 Months Ended

Dec. 31, 2015

Accounts, Notes, Loans and Financing Receivable [Line Items]

Schedule of finance receivables consisting of automobile finance installment Contracts and Direct Loans

	December 31,			March 31,
	2015			2015
Finance receivables, gross contract	$	494,808,526		$	457,974,758
Unearned interest		(153,498,759	)		(139,262,996	)
Finance receivables, net of unearned interest		341,309,767			318,711,762
Unearned dealer discounts		(18,633,833	)		(17,779,690	)
Finance receivables, net of unearned interest and unearned dealer discounts		322,675,934			300,932,072
Allowance for credit losses		(12,361,841	)		(12,028,012	)
Finance receivables, net	$	310,314,093		$	288,904,060

Schedule of an assessment of the credit quality by creditworthiness

	December 31, 2015				December 31, 2014
	Contracts		Direct Loans		Contracts		Direct Loans
Performing accounts	$	467,285,487	$	11,931,941	$	422,592,527	$	11,575,091
Non-performing accounts		11,111,916		100,393		9,284,558		105,818
Total	$	478,397,403	$	12,032,334	$	431,877,085	$	11,680,909
Chapter 13 bankrupt accounts		4,340,698		38,091		3,872,186		26,774
Finance receivables, gross contract	$	482,738,101	$	12,070,425	$	435,749,271	$	11,707,683

Schedule of information regarding delinquency rates

Contracts	Gross Balance Outstanding		31 – 60 days			61 – 90 days			Over 90 days			Total
December 31, 2015	$	478,397,403	$	23,970,608		$	7,029,791		$	4,082,125		$	35,082,524
				5.01	%		1.47	%		0.85	%		7.33	%
December 31, 2014	$	431,877,085	$	21,749,891		$	6,103,607		$	3,180,951		$	31,034,449
				5.04	%		1.41	%		0.74	%		7.19	%
Direct Loans	Gross Balance Outstanding		31 – 60 days			61 – 90 days			Over 90 days			Total
December 31, 2015	$	12,032,334	$	211,921		$	63,543		$	36,850		$	312,314
				1.76	%		0.53	%		0.31	%		2.60	%
December 31, 2014	$	11,680,909	$	164,347		$	59,043		$	46,776		$	270,166
				1.40	%		0.51	%		0.40	%		2.31	%

Contracts

Accounts, Notes, Loans and Financing Receivable [Line Items]

Schedule of reconciliation of the changes in the allowance for credit losses

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Balance at beginning of period	$	10,953,844		$	11,942,694		$	11,325,222		$	12,889,082
Current period provision		7,437,522			5,658,695			18,402,211			14,799,782
Losses absorbed		(7,583,543	)		(6,948,034	)		(20,453,767	)		(18,844,447	)
Recoveries		694,452			682,830			2,228,609			2,491,768
Balance at end of period	$	11,502,275		$	11,336,185		$	11,502,275		$	11,336,185

Direct Loans

Accounts, Notes, Loans and Financing Receivable [Line Items]

Schedule of reconciliation of the changes in the allowance for credit losses

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Balance at beginning of period	$	779,921		$	734,500		$	702,789		$	590,278
Current period provision		161,667			137,953			363,534			382,916
Losses absorbed		(83,454	)		(82,948	)		(223,740	)		(202,063	)
Recoveries		1,432			3,403			16,983			21,777
Balance at end of period	$	859,566		$	792,908		$	859,566		$	792,908

XML

Interest Rate Swap Agreements (Tables)

9 Months Ended

Dec. 31, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of locations and amounts of (gains) losses recognized in income

	Three months ended December 31,					Nine months ended December 31,
	2015			2014		2015			2014
Periodic change in fair value of interest rate swap agreements	$	(250,798	)	$	144,999	$	(128,170	)	$	105,878
Periodic settlement differentials included in interest expense		89,360			98,517		278,838			297,355
Total	$	(161,438	)	$	243,516	$	150,668		$	403,233

Schedule of variable rates received and average fixed rates paid under the swap agreements

	Three months ended December 31,						Nine months ended December 31,
	2015			2014			2015			2014
Variable rate received		0.24	%		0.16	%		0.21	%		0.15	%
Fixed rate paid		0.94	%		0.94	%		0.94	%		0.94	%

XML

Fair Value Disclosures (Tables)

9 Months Ended

Dec. 31, 2015

Fair Value Disclosures [Abstract]

Schedule of assets and liabilities recorded at fair value on a recurring basis

	Fair Value Measurement Using
Description	Level 1		Level 2			Level 3		Fair Value
Interest rate swap agreements:
December 31, 2015 – asset:	$	0	$	6,487		$	0	$	6,487
December 31, 2015 – liability:	$	0	$	(59,092	)	$	0	$	(59,092	)
March 31, 2015 – liabilities:	$	—	$	(180,775	)	$	—	$	(180,775	)

Schedule of financial instruments not measured at fair value

	Fair Value Measurement Using
Description	Level 1		Level 2		Level 3		Fair Value
Finance receivables:
December 31, 2015	$	0	$	0	$	310,314,000	$	310,314,000
March 31, 2015	$	—	$	—	$	288,904,000	$	288,904,000
Line of credit:
December 31 , 2015	$	0	$	213,000,000	$	0	$	213,000,000
March 31, 2015	$	—	$	199,000,000	$	—	$	199,000,000

XML

Revenue Recognition (Detail Textuals)

3 Months Ended

9 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2015

Dec. 31, 2014

Deferred Revenue Disclosure [Abstract]

Interest income accrual on finance receivables suspension condition

Accrual of interest income on finance receivables is suspended when a loan enters bankruptcy status, is contractually delinquent for 60 days or more or the collateral is repossessed, whichever is earlier.

Average dealer discount associated with new volume

7.59%

8.04%

7.56%

8.13%

XML

Earnings Per Share - Basic and diluted earnings per share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Earnings Per Share [Abstract]
Numerator for earnings per share - net income	$ 2,726,901	$ 3,769,556	$ 9,653,703	$ 13,008,445
Denominator:
Denominator for basic earnings per share - weighted average shares	7,622,981	12,197,125	7,620,423	12,188,778
Effect of dilutive securities:
Stock options and other share awards	148,404	178,214	157,141	183,220
Denominator for diluted earnings per share	7,771,385	12,375,339	7,777,564	12,371,998
Earnings per share:
Basic (in dollars per share)	$ 0.36	$ 0.31	$ 1.27	$ 1.07
Diluted (in dollars per share)	$ 0.35	$ 0.30	$ 1.24	$ 1.05

XML

Earnings Per Share (Detail Textuals) - shares	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential common stock shares not included in diluted earnings per share calculation	165,000	130,870	160,091	83,036

XML

Finance Receivables - Finance receivables consist of automobile finance installment Contracts and Direct Loans (Details) - USD ($)	Dec. 31, 2015	Mar. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Finance receivables, net	$ 310,314,093	$ 288,904,060
Finance receivables | Contracts and Direct Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Finance receivables, gross contract	494,808,526	457,974,758
Unearned interest	(153,498,759)	(139,262,996)
Finance receivables, net of unearned interest	341,309,767	318,711,762
Unearned dealer discounts	(18,633,833)	(17,779,690)
Finance receivables, net of unearned interest and unearned dealer discounts	322,675,934	300,932,072
Allowance for credit losses	(12,361,841)	(12,028,012)
Finance receivables, net	$ 310,314,093	$ 288,904,060

XML

Finance Receivables - Summary of reconciliation of changes in allowance for credit losses on contracts (Details 1) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Financing Receivable, Allowance for Credit Losses [Roll Forward]
Current period provision	$ 7,599,189	$ 5,796,648	$ 18,765,745	$ 15,182,698
Finance receivables | Contracts
Financing Receivable, Allowance for Credit Losses [Roll Forward]
Balance at beginning of period	10,953,844	11,942,694	11,325,222	12,889,082
Current period provision	7,437,522	5,658,695	18,402,211	14,799,782
Losses absorbed	(7,583,543)	(6,948,034)	(20,453,767)	(18,844,447)
Recoveries	694,452	682,830	2,228,609	2,491,768
Balance at end of period	$ 11,502,275	$ 11,336,185	$ 11,502,275	$ 11,336,185

XML

Finance Receivables - Reconciliation of changes in allowance for credit losses on direct loans (Details 2) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Financing Receivable, Allowance for Credit Losses [Roll Forward]
Current period provision	$ 7,599,189	$ 5,796,648	$ 18,765,745	$ 15,182,698
Finance receivables | Direct Loans
Financing Receivable, Allowance for Credit Losses [Roll Forward]
Balance at beginning of period	779,921	734,500	702,789	590,278
Current period provision	161,667	137,953	363,534	382,916
Losses absorbed	(83,454)	(82,948)	(223,740)	(202,063)
Recoveries	1,432	3,403	16,983	21,777
Balance at end of period	$ 859,566	$ 792,908	$ 859,566	$ 792,908

XML

Finance Receivables - Assessment of credit quality by creditworthiness (Details 3) - Finance receivables - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Contracts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total	$ 478,397,403	$ 431,877,085
Chapter 13 bankrupt accounts	4,340,698	3,872,186
Finance receivables, gross contract	482,738,101	435,749,271
Contracts | Performing accounts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total	467,285,487	422,592,527
Contracts | Non-performing accounts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total	11,111,916	9,284,558
Direct Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total	12,032,334	11,680,909
Chapter 13 bankrupt accounts	38,091	26,774
Finance receivables, gross contract	12,070,425	11,707,683
Direct Loans | Performing accounts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total	11,931,941	11,575,091
Direct Loans | Non-performing accounts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total	$ 100,393	$ 105,818

XML

Finance Receivables - Information regarding delinquency rates with respect to contracts and direct loans (Details 4) - Finance receivables - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Contracts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 478,397,403	$ 431,877,085
Total	$ 35,082,524	$ 31,034,449
Total (in percentage)	7.33%	7.19%
Contracts | 31 - 60 days
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 23,970,608	$ 21,749,891
Total (in percentage)	5.01%	5.04%
Contracts | 61 - 90 days
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 7,029,791	$ 6,103,607
Total (in percentage)	1.47%	1.41%
Contracts | Over 90 days
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 4,082,125	$ 3,180,951
Total (in percentage)	0.85%	0.74%
Direct Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 12,032,334	$ 11,680,909
Total	$ 312,314	$ 270,166
Total (in percentage)	2.60%	2.31%
Direct Loans | 31 - 60 days
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 211,921	$ 164,347
Total (in percentage)	1.76%	1.40%
Direct Loans | 61 - 90 days
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 63,543	$ 59,043
Total (in percentage)	0.53%	0.51%
Direct Loans | Over 90 days
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gross Balance Outstanding	$ 36,850	$ 46,776
Total (in percentage)	0.31%	0.40%

XML

Finance Receivables (Detail Textuals) - USD ($)	9 Months Ended
	Dec. 31, 2015	Mar. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Finance receivables, net	$ 310,314,093	$ 288,904,060
Finance receivables | Contracts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Weighted average effective interest rate	22.71%	22.86%
Percentage of average wholesale value of automobile	97.00%
Finance receivables | Contracts | Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Initial term of finance receivables	12 months
Finance receivables | Contracts | Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Initial term of finance receivables	72 months
Finance receivables | Direct Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Weighted average effective interest rate	25.75%	26.14%
Percentage of direct loan to aggregate principal amount of loan portfolio	2.00%
Finance receivables | Direct Loans | Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Initial term of finance receivables	12 months
Finance receivables, net	$ 1,000
Finance receivables | Direct Loans | Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Initial term of finance receivables	60 months
Finance receivables, net	$ 9,000

XML

Finance Receivables (Detail Textuals 1)	9 Months Ended
	Dec. 31, 2015
Receivables [Abstract]
Maximum criteria for receivable to be a performing account	61 days
Minimum criteria for receivable to be a non-performing account	61 days or more
Criteria for receivable to be delinquent account	120 days

XML

Line of Credit (Detail Textuals) - USD ($)	9 Months Ended
	Dec. 31, 2015	Mar. 31, 2015
Line of Credit Facility [Line Items]
Outstanding amount of line of credit facility	$ 213,000,000	$ 199,000,000
Line of credit facility
Line of Credit Facility [Line Items]
Maximum amount of line of credit facility	$ 225,000,000
Line of credit facility, Basis Spread on Variable Rate	3.00%
Line of credit facility, Description of Variable Rate Basis	30-day LIBOR
Line of credit facility, Floor rate	1.00%
Interest rate	4.00%	4.00%
Outstanding amount of line of credit facility	$ 213,000,000	$ 199,000,000
Amount available under the line of credit	$ 12,000,000	$ 26,000,000

XML

Interest Rate Swap Agreements - Summary of locations and amounts of (gains) losses in income (Details) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Periodic change in fair value of interest rate swap agreements	$ (250,798)	$ 144,999	$ (128,170)	$ 105,878
Periodic settlement differentials included in interest expense	89,360	98,517	278,838	297,355
Total	$ (161,438)	$ 243,516	$ 150,668	$ 403,233

XML

Interest Rate Swap Agreements - Summary of variable rates received and fixed rates paid under swap (Details 1) - Interest Rate Swap	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Derivative [Line Items]
Variable rate received	0.24%	0.16%	0.21%	0.15%
Fixed rate paid	0.94%	0.94%	0.94%	0.94%

XML

Interest Rate Swap Agreements (Detail Textuals)	Jun. 13, 2012	Jan. 04, 2012	Dec. 31, 2015 Swap	Aug. 13, 2012 USD ($)
Derivatives, Fair Value [Line Items]
Number of interest rate swap agreements | Swap			2
Interest Rate Swap
Derivatives, Fair Value [Line Items]
Interest rate swap period	5 years	5 years
Fixed rate paid	0.87%	1.00%
Description of rate for the variable rate of the interest rate	1-month LIBOR	1-month LIBOR
Derivative notional amount | $				$ 25,000,000

XML

Income Taxes (Detail Textuals) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 1,698,445	$ 2,368,923	$ 6,023,933	$ 6,856,017
Income tax rate	38.38%	38.59%	38.42%	34.51%
Professional fees associated with potential sale				$ 1,200,000

XML

Fair Value Disclosures - Assets and liabilities recorded at fair value on recurring basis (Details) - USD ($)	Dec. 31, 2015	Mar. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap agreements - Assets	$ 6,487
Interest rate swap agreements - liability	59,092	$ 180,775
Recurring Basis | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap agreements - Assets	0
Interest rate swap agreements - liability	0
Recurring Basis | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap agreements - Assets	6,487
Interest rate swap agreements - liability	(59,092)	$ (180,775)
Recurring Basis | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap agreements - Assets	0
Interest rate swap agreements - liability	0
Recurring Basis | Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap agreements - Assets	6,487
Interest rate swap agreements - liability	$ (59,092)	$ (180,775)

XML

Fair Value Disclosures - Summary of financial instruments not measured at fair value (Details 1) - USD ($)	Dec. 31, 2015	Mar. 31, 2015
Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Finance receivables	$ 0
Line of credit	0
Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Finance receivables	0
Line of credit	213,000,000	$ 199,000,000
Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Finance receivables	310,314,000	$ 288,904,000
Line of credit	0
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Finance receivables	310,314,000	$ 288,904,000
Line of credit	$ 213,000,000	$ 199,000,000

XML

Fair Value Disclosures (Detail Textuals) - Finance receivables	9 Months Ended
	Dec. 31, 2015
Contracts | Minimum
Financial Instruments Not Measured At Fair Value [Line Items]
Initial term of finance receivables	12 months
Contracts | Maximum
Financial Instruments Not Measured At Fair Value [Line Items]
Initial term of finance receivables	72 months
Direct Loans | Minimum
Financial Instruments Not Measured At Fair Value [Line Items]
Initial term of finance receivables	12 months
Direct Loans | Maximum
Financial Instruments Not Measured At Fair Value [Line Items]
Initial term of finance receivables	60 months

XML

Tender Offer (Detail Textuals) - USD ($)	1 Months Ended
	Mar. 19, 2015	Mar. 17, 2015	Dec. 31, 2015	Mar. 31, 2014
Tender Offer [Line Items]
Common stock, shares outstanding			7,749,481	7,701,981
Dutch auction
Tender Offer [Line Items]
Number of shares offered in tender	4,700,000
Total payments for common shares including costs	$ 70,459,000
Percentage of number of common shares purchased		38.00%
Common stock, shares outstanding		7,701,981