HOUSTON, Texas -- Auto Financial Group has signed an agreementwith Credit Union Services Inc., a wholly-owned CUSO ofDallas-based Credit Union of Texas that allows the online providerof residual-based financing to market CUSI's vehicle lease solutionto other credit unions throughout the U.S.

In the past the CUSO provided its FairLease program to othercredit unions' members, but more recently CUSI's focus has been onindirect leasing, according to CUSI's Sonny Geels, businessdevelopment coordinator.

CUSI's partnership with AFG, she said, will make it possible forthe CUSO to originate leases with additional credit unions,specifically AFG's approximately 175 credit union clients.

CUSI already has relationships with over 600 dealers in 45states through the indirect leasing program set up with CreditUnion of Texas. Geels said the CUSO will offer credit unions bothdirect and indirect leasing programs, depending on what theywant.

Since 1995, CUSI has originated over 26,000 lease contractsrepresenting more than $950 million in auto receivables.

As part of its new partnership with the CUSO, AFG will handleall proactive marketing, disposition of lease vehicles at leasematurity and provide residual value insurance.

AFG's Driving Sense(TM) online residual-based auto financingproduct lets credit unions "build" a vehicle for their members andcompare payment terms with conventional loans. Other featuresinclude a guaranteed, predetermined vehicle residual value throughthird-party insurance and automatically generated loan documents.At the end of the lease term, AFG handles the disposition of thevehicle.