Ridero and AFG Partner to Scale Residual-Based Auto Financing
The two firms will expand vehicle leasing capacity through AFG's lender network, covering both new and used vehicles.
Ridero, a technology platform focused on vehicle leasing infrastructure, and AFG have announced a strategic partnership aimed at broadening residual-based vehicle financing across the United States. The collaboration is designed to generate incremental loan originations by leveraging AFG's established lender programs, according to a joint statement released October 5, 2026.
The agreement would allow lenders already operating within AFG's network to launch or expand leasing operations covering both new and used vehicles — a segment that has historically been underserved by residual-based financing models. Ridero's platform is positioned as the technical backbone enabling lenders to move into leasing without building proprietary infrastructure from the ground up.
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Residual-based financing, in which a vehicle's projected future value determines monthly payment structures, has long dominated new-car leasing at franchise dealerships but has seen slower adoption among independent lenders and used-vehicle markets. The Ridero-AFG arrangement appears to target that gap, giving smaller or non-traditional lenders a structured path into the segment.
The partnership reflects broader momentum in automotive finance toward technology-enabled origination models, as rising vehicle prices and shifting consumer preferences continue to pressure traditional auto loan structures. By routing leasing capability through an existing lender network, the deal could compress the time-to-market for institutions seeking to diversify their auto finance portfolios.
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