TALF newcomers Hyundai Motor Finance Corp. and Chesapeake Funding LLC, a unit of PHH Corp., are getting set to issue auto-backed securitizations next week.
Hyundai’s $1.3 billion securitization, the captive’s first this year, will be backed by prime loans secured by new and used cars and light-duty trucks. Chesapeake’s issuance, meanwhile, will consist of $750 million worth of fleet leases.
Other financiers slated to return to the TALF market for the Sept. 3 round: Bank of… Continue
Added by Marcie Belles on August 28, 2009 at 2:00pm —
New-car sales prompted by Cash for Clunkers (aka CARS) certainly blew the roof off industry estimates for the program’s success. In all, 690,114 guzzlers were submitted in exchange for new vehicles. But analysis of the program’s stats point to the difficult road ahead for the domestic auto manufacturers, which are still struggling with flagging sales.
Take a look at the top 10 trade-ins — all are domestics:
1. Ford Explorer 4WD
2. Ford F150 Pickup 2WD
3. Jeep… Continue
Added by Marcie Belles on August 27, 2009 at 1:30pm —
With the deadline just a week away, now’s the time to nominate executives and companies for the 2009 Auto Finance Excellence Awards
, which celebrate achievement in the auto lending and leasing arena.
These awards recognize executives or companies that have made the greatest contribution to the auto lending and leasing industry in the past year. The awards will be announced at the Auto Finance Summit 2009 in mid-October and in Auto Finance News
Executives or… Continue
Added by Marcie Belles on August 26, 2009 at 11:00am —
The Cash for Clunkers program is in the home stretch today -- applications can be submitted only until 8 p.m. ET -- and it merits pointing out that the experience should have prevailed on the federal government this fact: it's not easy playing lender.
Rest assured, there will be nightmare stories of dealers waiting six or eight months for their cash. That's because C4C effectively requires the federal government to play lender by underwriting each voucher application. And as every… Continue
Added by JJ Hornblass on August 24, 2009 at 9:30am —
4:04 PM ET: Call has yet to begin.
4:10: Call starts. Briefing is by a senior administration official.
4:11: Briefing will address the wind-down of C4C. Only a few months ago there were very few good news stories from the US automotive industry. What we have seen is a single program finding overwhelming success. Consumers have benefited enormously from this. Ave. fuel efficiency gains: 60%.
July and August showroom traffic was at a height not seen for a very… Continue
Added by JJ Hornblass on August 20, 2009 at 3:30pm —
Fifty years ago today Ford Motor Credit Co.
launched. There have been some hiccups in the years since (leasing, subprime lending, the credit crisis, etc), but Ford Credit remains the No. 1 auto finance company in the nation with $88.2 billion of total outstandings in the US at yearend 2008 and despite a 14.5% year-over-year decline, according to the Auto Finance… Continue
Added by JJ Hornblass on August 20, 2009 at 12:00pm —
Change in the China market is continuing as the Bank of China -- the government's de facto banking enterprise -- has put its stake
in Dongfeng Peugeot Citroen Auto Finance Co., Ltd up for sale yesterday.
The Bank of China owns 50% of DPC Auto Finance. It has set a price tag of about $48 million for the unit.
Formed in 2006, DPC Auto Finance provides wholesale and retail financing… Continue
Added by JJ Hornblass on August 19, 2009 at 2:00pm —
After reviewing 101 auto loan-backed securitizations, Fitch Ratings has isolated three as “Under Analysis,” which means that within 30 days they will either be affirmed, upgraded, downgraded, or placed on Rating Watch.
The three subject to a more in-depth review:
• Bank of America Auto Trust 2008-1
• Capital One Prime Auto Receivables Trust 2006-2
• JPMorgan Auto Receivables Trust 2008-A
Stay tuned for more info.
Added by Marcie Belles on August 12, 2009 at 12:41pm —
You can't turn a newspaper page (or in my case, click a newspaper story on your Kindle) without seeing an article dissecting the relationship between housing pricing and unemployment. But what about the relationship between auto sales and unemployment? It turns out the correlation is similar to the house-prices-unemployment-rate dance.
Here's a graphic, courtesy of the Calculated… Continue
Added by JJ Hornblass on August 11, 2009 at 2:00pm —
Check out this in-depth look at the role Chrysler Financial played
in Cerberus chief Steve Feinberg’s decision to buy Chrysler from Daimler. The article offers a play-by-play of how the deal evolved and what ultimately went wrong.
From the article:
According to five people who heard Cerberus’s Chrysler pitch, all of whom requested anonymity because… Continue
Added by Marcie Belles on August 11, 2009 at 1:36pm —
At the height of the credit crisis last year, more than one commentator talked about how some companies were going to make boatloads of money through bold investing. Count Leucadia National Corp.
among the bold.
In its most recent earnings report, Leucadia (ticker: LUK) reported that its investment in AmeriCredit Corp., the subprime auto lending, climbed in fair value to $446.3 million on June 30 from $249.9 million at yearend… Continue
Added by JJ Hornblass on August 10, 2009 at 10:00am —
Here’s a look at some recent auto loan programs:
Summer Clearance, Aug. 4-31
0% financing for up to 72 months through GMAC Financial Services on select 2009 model vehicles, or up to $4,500 Consumer Cash to all consumers, even if they don’t have a trade-in. The program replaces Chrysler’s “Double CA$H for Your Old Car” incentive, which debuted July 22 and offered up to $9,000 toward the purchase of a new Chrysler, Jeep, or… Continue
Added by Marcie Belles on August 6, 2009 at 1:00pm —
, president of Capital One Auto Finance
, will deliver the Keynote Address at the 2009 Auto Finance Summit.
takes place Oct. 12-13 in Las Vegas.
Yajnik has been president of Capital One Auto Finance since 2007. He first joined Cap One in 1998, and was schooled at the University of Western Ontario. He… Continue
Added by JJ Hornblass on August 5, 2009 at 3:30pm —
Sub Prime Lender Finds Liquidity
This month Navigator Acceptance completed two sale transactions, of consumer loans, in a market where getting a deal done is at best challenging. According to Navigator’s President Bobby Lazenby, Navigator will, from time to time, continue to pursue select sales of their high quality independent automobile installment contracts. Navigator’s loans are originated directly from the group’s (Navigator Dealer Group) eight dealerships located… Continue
Added by Bobby Lazenby on August 3, 2009 at 2:00pm —
Chase Automotive and Bank of America Dealer Financial Services will send their top executives to participate in what is shaping up to be an impressive speaker faculty for the 2009 Auto Finance Summit.
Highlights of the speaker roster include:
• Ellsworth Clark, president, Bank of America Dealer Financial Services
• Marc Sheinbaum, president and CEO, Chase Auto Finance
• Jeffrey Young, president and CEO, Mitsubishi Motors Credit of America
• Dan… Continue
Added by Marcie Belles on August 3, 2009 at 12:30pm —