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8 smart habits Lithia Motors employees can adopt to help boost credit scores

Healthcare Provider Update: Healthcare Provider for Lithia Motors: Lithia Motors employees typically receive healthcare benefits through a variety of insurance providers, including major national insurers such as UnitedHealthcare, Aetna, and Blue Cross Blue Shield. These insurance partners offer comprehensive health plans that cater to the needs of Lithia Motors' workforce. Potential Healthcare Cost Increases in 2026: In 2026, Lithia Motors employees may face significant increases in healthcare costs, driven by a combination of factors impacting the Affordable Care Act (ACA) marketplace. Premiums for ACA plans are projected to rise sharply, with some states experiencing hikes upwards of 60%, primarily due to the expiration of enhanced federal subsidies and escalating medical costs. As a result, employers like Lithia Motors may adjust their benefit structures, potentially shifting a greater share of healthcare expenses onto employees. Navigating this landscape will require diligence in understanding upcoming benefit changes and making informed decisions about health plan selections to mitigate rising out-of-pocket costs. Click here to learn more

'Strong credit habits can give Lithia Motors employees greater flexibility when preparing for major financial decisions, especially as they transition toward retirement,' says Michael Corgiat, a representative of The Retirement Group, a division of Wealth Enhancement.

'Lithia Motors employees who build and maintain strong credit habits may position themselves for smoother financial decisions in the years leading up to retirement,' says Brent Wolf, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article, we will discuss:

How strong credit can support borrowing for major purchases.
Eight habits that may positively influence your credit score.
Ways to monitor and maintain the accuracy of your credit report.

When borrowing for a major purchase, strong credit can make the process smoother and possibly less expensive. Like preparing for a long-term project at Lithia Motors, progress comes from consistent effort over time—not rushing right before the deadline.

Here are eight habits that can support your credit score.

1. Make timely bill payments

Payment history is a major factor in credit scoring. Staying on top of due dates for loans and credit cards demonstrates reliability. Options like scheduled reminders or autopay can help keep everything flowing.

2. Maintain minimal credit balances

Using only a portion of your available credit—especially on revolving accounts like credit cards—can contribute to a stronger score. Credit utilization (how much of your borrowing limit you’re using) is a key consideration for lenders.

3. Keep older accounts open when it makes sense

The length of your credit history influences how strong your borrowing profile appears. Older accounts highlight more long-term behavior. However, if an account has high fees or encourages overspending, closing it may still be practical for some Lithia Motors households.

4. Limit unnecessary new credit applications

Applying for credit can trigger hard inquiries that temporarily place slight downward pressure on your credit score. Multiple inquiries for the same type of loan—like mortgage rate shopping—typically count as one within a defined window. Checking your own credit does not affect your score.

5. Maintain a healthy mix of credit types

Responsibly managing a blend of installment loans and revolving accounts can demonstrate financial flexibility. This doesn’t mean taking on debt that isn’t needed. However, thoughtfully managing different forms of credit over time may help strengthen your profile as life evolves during and after a Lithia Motors career.

6. Monitor your credit report regularly

You are entitled to free credit reports from the major bureaus—Equifax®, Experian®, and TransUnion®. Reviewing them can help identify errors, lingering balances, or signs of fraud. Staying proactive keeps your credit information accurate and up-to-date.

7. Dispute any reporting mistakes

If you find incorrect data on your report, you can file a dispute with the reporting bureau and contact the creditor at issue. Fixing errors can help make sure your score reflects your actual history.

8. Strengthen your overall financial picture

Budgeting, keeping debt manageable, and maintaining an emergency fund may make it easier to keep up with credit-related commitments. When finances stay organized, positive credit habits typically follow.

Need help planning for retirement?

A well-managed credit profile can be an important part of your overall financial life, including the transition into retirement. The Retirement Group can assist you as you prepare for your future. If you would like guidance, call (800) 900-5867 to speak with our team.

Need help planning for retirement?

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Sources:

1. Consumer Financial Protection Bureau. “How Do I Dispute an Error on My Credit Report?” CFPB , 18 Dec. 2024, www.consumerfinance.gov/ask-cfpb/how-do-i-dispute-an-error-on-my-credit-report-en-314/ . Accessed 27 Oct. 2025.

2. Experian Editorial Team. “Do Multiple Loan Inquiries Affect Your Credit Score?” Experian , 30 Aug. 2024, www.experian.com/blogs/ask-experian/do-multiple-loan-inquiries-affect-your-credit-score/ . Accessed 27 Oct. 2025.

3. FICO. “What’s in My FICO® Scores?” myFICO , n.d., www.myfico.com/credit-education/whats-in-your-credit-score . Accessed 27 Oct. 2025.

4. Federal Deposit Insurance Corporation. “Credit Reports.” FDIC , 1 Aug. 2023, www.fdic.gov/consumer-resource-center/credit-reports . Accessed 27 Oct. 2025.

5. Federal Trade Commission. “Free Credit Reports.” FTC Consumer Advice , 2023–2024, consumer.ftc.gov/free-credit-reports. Accessed 27 Oct. 2025.

What retirement savings options does Lithia Motors offer to its employees?

Lithia Motors offers a 401(k) plan as a primary retirement savings option for its employees.

How can employees of Lithia Motors enroll in the 401(k) plan?

Employees can enroll in the Lithia Motors 401(k) plan through the company’s HR portal or by contacting the HR department for assistance.

Does Lithia Motors match employee contributions to the 401(k) plan?

Yes, Lithia Motors offers a matching contribution to the 401(k) plan, which helps employees maximize their retirement savings.

What is the vesting schedule for Lithia Motors' 401(k) matching contributions?

The vesting schedule for Lithia Motors' 401(k) matching contributions typically follows a standard timeline, which can be confirmed in the employee handbook or by HR.

Can employees of Lithia Motors take loans against their 401(k) savings?

Yes, Lithia Motors allows employees to take loans against their 401(k) savings, subject to certain terms and conditions.

What investment options are available in the Lithia Motors 401(k) plan?

The Lithia Motors 401(k) plan offers a variety of investment options, including mutual funds, stocks, and bonds, allowing employees to diversify their portfolios.

Is there a minimum contribution requirement for the Lithia Motors 401(k) plan?

Yes, Lithia Motors may have a minimum contribution requirement for employees wishing to participate in the 401(k) plan, which can be found in the plan documents.

How often can employees change their contribution amounts to the Lithia Motors 401(k) plan?

Employees of Lithia Motors can typically change their contribution amounts at any time, but it’s advisable to check the specific guidelines in the plan documents.

What is the age requirement for employees to start contributing to the Lithia Motors 401(k) plan?

Employees must be at least 21 years old to start contributing to the Lithia Motors 401(k) plan, in accordance with IRS regulations.

Does Lithia Motors offer financial education resources for employees regarding their 401(k) plan?

Yes, Lithia Motors provides financial education resources and workshops to help employees understand and manage their 401(k) plans effectively.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Name of Pension Plan: Determine the specific name of Lithia Motors' pension plan. Years of Service and Age Qualification: Identify the required years of service and age for eligibility. Pension Formula: Review how the pension amount is calculated. Source Document: Find and cite the specific documents where this information is available, including page numbers. Name of 401(k) Plan: Determine the specific name of Lithia Motors' 401(k) plan. Who Qualifies: Identify the eligibility criteria for participating in the 401(k) plan. Source Document: Find and cite the specific documents where this information is available, including page numbers.

Restructuring and Layoffs: Lithia Motors announced strategic layoffs in 2024, aiming for $150 million in annual savings through targeted employee reductions. These layoffs focus primarily on U.S. operations rather than global ones, particularly targeting underperforming management at the store level. These layoffs are part of a broader plan to cut $250 million in expenses, including reducing inventory and third-party service costs (CBT News) (SEC.gov).

Pension and 401(k) Benefits: Lithia Motors offers a range of retirement benefits, including a 401(k) plan with company match, employee stock purchase plans, and performance bonuses. The 401(k) plan allows employees to manage their investments, take out loans against their vested balances, and choose different disbursement methods upon retirement. The company also offers pension benefits for eligible employees, including projections and beneficiary management (Built In) (Benefits Account Manager).

Stock Options and RSUs: Lithia Motors (LAD) offers stock options and RSUs to its employees as part of its compensation packages. Eligibility: These benefits are generally available to executives, senior management, and key employees based on performance and role. Company Acronyms: Lithia Motors uses LAD for its stock options and RSU grants.

Medical Insurance: Lithia Motors provides several health insurance plans, including High Deductible Health Plans (HDHPs) and Preferred Provider Organization (PPO) plans. Dental and Vision Insurance: Coverage is offered through a range of plans, with options for both basic and more extensive dental and vision care. HSAs and FSAs: These accounts help employees manage healthcare expenses by allowing pre-tax contributions.