Credit Acceptance Corporation, or CACC, commenced a tender offer to buy up to 996,000 shares of the company’s outstanding common stock at a price of $125.54 per share.
September 19, 2014
September 18, 2014
September 17, 2014
September 17, 2014
Auto loan delinquency rates were on the rise last quarter, especially for borrowers in the under-30 age bracket, according to data from TransUnion. The ratio of borrowers 60 or more days past due increased 8 basis points to 0.95% among all borrowers; it climbed 21 basis points — to 1.28%Read More
Debit card is the fastest growing payment option today, and the most preferred payment type among consumers. To meet this consumer demand, leaders in the auto finance industry are implementing billing & payment strategies that enable them to accept debit cards as a payment option. Get immediate insight to boostRead More
The Consumer Financial Protection Bureau is proposing to expand its oversight beyond the banks to about 38 additional nonbank auto finance companies, according to an announcement from the bureau today. Each of those 38 additional companies make, acquire, or refinance at least 10,000 or more loans or leases in a year, according to the release. The CFPB said it would supervise them to make sure they are complying with federal consumer financial law.
Longer loan terms, coupled with higher residual value assumptions, will attract borrowers with lower credit scores. That’s the new forecast released this week from Standard & Poor’s, which added that the dynamic will continue to be fueled by consumers who want to replace aging vehicles with newer models. The positiveRead More
There is much anticipation of what could be announced at the Consumer Financial Protection Bureau’s upcoming field hearing in Indianapolis tomorrow, and what it could mean for the auto finance industry.
Fitch Ratings has fired yet another shot across the subprime bow. This week, Fitch analysts wrote that most subprime auto transactions on the ABS market do not warrant high investment grade (‘AAsf’ or ‘AAsf’) ratings due to the unique risks involved in the sector and instead, they should instead be capped at ‘Asf” or lower.
Bank of America Corp. is not enthused by the 85-month loans currently being hawked on the auto finance market. BofA Chief Financial Officer Bruce Thompson told attendees of the Barclays Global Financial Services event this week that 85-month loans should concern the industry. “I do share some of the concernsRead More
Banco Santander, Spain’s largest bank, announced this morning that it has entered into an agreement to buy Carfinco Financial Group Inc., a Canadian lender, for $298 million in cash. The price represents a 32.1% premium to Carfinco’s weighted average share price for the 90 days ending Sept. 15. Under theRead More
Wells Fargo & Co. used a presentation to Wall Street investors this week to boast about its auto finance business. The bank’s Chief Financial Officer John Shrewsberry told participants at the Barclays Conference that the bank is the nation’s largest auto lender. Shrewsberry’s claim aside, Wells did grow its second-quarterRead More
What’s the turnaround on loan applications today? The short answer: it depends. Dealers should expect a 48-hour turnaround for payments on contracts without errors, according to Open Dealer Exchange. But some lenders, such as Honda Financial Services, can keep dealers waiting as long as five to seven days, according toRead More
How should lenders prepare for the coming used car flood and the changes it will bring to auto remarketing? The Center for Auto Finance Excellence will hold “How to Play the Great Lease Return,” the center’s third webinar of 2014, to explore this grand market opportunity.