Marcie Belles's Blog – October 2010 Archive (10)

Colorado Court Rules in Favor of Car Buyer Using Fake SSN

Though Felix Montes-Rodriguez admitted to using somebody else’s Social Security number on the car loan application he submitted to Hajek Chevrolet, a Colorado court found him innocent of criminal impersonation.



In an Oct. 25 ruling, the Colorado Supreme Court ruled 4-3 in favor of Montes-Rodriguez because some of the information on the credit app was correct.



“He gave his correct address, birth date and place of employment," wrote Justice Michael Bender. "Most importantly,… Continue

Added by Marcie Belles on October 28, 2010 at 2:30pm — 7 Comments

Regulatory Change May Open Door for Bank Leasing in Canada

North of the border, leasing has plunged to 7% of the finance market, from 45% in 2005. Now bankers — and some automakers — are banding together to try to change that.



For years, leasing was a captive-only offering. Banks were prohibited from granting leases as mandated by the federal Bank Act. But in advance of the 2011 review of the legislation, several Canadian OEMs — GM, Mazda, Mitsubishi, and Nissan — have come out publicly in favor of modifying the law to include banks. Their… Continue

Added by Marcie Belles on October 28, 2010 at 1:00pm — No Comments

Ford Credit Earnings Climb 16% in 3Q

Ford Motor Credit Co. cited lower loss provisions and less lease depreciation as reasons for improved earnings last quarter.



The Ford Motor Co. captive earned $497 million in the third quarter, up from $427 million in the prior-year quarter. It had $85 billion of managed receivables, down from $95 billion at yearend 2009.



“The lower receivables primarily reflected the transition of Jaguar, Land Rover, Mazda, and Volvo financing to other finance providers and lower… Continue

Added by Marcie Belles on October 26, 2010 at 2:32pm — No Comments

AutoTrader.com to Buy Kelley Blue Book

Car-buying marketplace AutoTrader.com announced today the acquisition of auto-value provider Kelley Blue Book in a deal expected to exceed $500 million. The exact purchase price was not disclosed.



Atlanta-based AutoTrader, founded 12 years ago, hopes the move will boost advertising revenue.



AutoTrader serves as a middleman for car buyers and sellers, aggregating sales data from dealers and private sellers. Meanwhile, 84-year-old Kelley Blue Book provides new and used… Continue

Added by Marcie Belles on October 26, 2010 at 1:13pm — No Comments

Dealer Terminations in the Wake of Higher Sales

Two Ohio congressmen are seeking postponement of hundreds of General Motors dealership closures because they contend the termination process was “rife with secrecy.” U.S. Reps. Steven LaTourette and John A. Boehner sent letters Friday to Pres. Barack Obama, Treasury Secretary Tim Geithner, and TARP Special Inspector General Neil Barofsky asking for the process to be halted until an investigation of dealer terminations is completed.



But maybe the terminations should be halted for… Continue

Added by Marcie Belles on October 26, 2010 at 11:54am — No Comments

Trio of Auto ABS Deals Set to Price

The asset-backed securitization market is set for a $2.4 billion infusion of auto-backed issuance.



This week, three new securitizations are slated to come to market: an $819 million lease deal from Ford Credit, a $1 billion loan deal from American Honda Finance, and a $600 million rental car deal from Avis Budget Car Rental.



So far this year, auto-backed deals have comprised more than half of all ABS issuance — $47.5 billion of the total $80.7 billion, according to… Continue

Added by Marcie Belles on October 19, 2010 at 3:00pm — No Comments

Financiers Expect Heightened Competition Amid Looser Underwriting

Competition is starting to shift out of low gear.



After turning the corner on capital constraints and economic distress, the auto finance sector is gaining momentum. Lenders will feel pressure to reach into deeper credit tiers and relax underwriting standards to grow volume.



Those were some of the core findings in the Auto Finance Forecast Fall 2010, an exclusive survey conducted by Auto Finance News and sister web site… Continue

Added by Marcie Belles on October 19, 2010 at 12:12pm — 2 Comments

Bad Timing for AFC HoldCo Shutdown?

Earlier this week, independent auto finance company AFC HoldCo LLC announced that it would shut its doors because of the downturn in the auto market.



Japanese investment firm Mitsui & Co. bought the Sunrise, Fla.-based lender in 2007 for $63 million, with the hopes that the auto finance business would expand. AFC HoldCo had been created from the merger of Affiliated Financial Corp. and BayQuest Capital Corp. — which retained a combined 12.5% stake — and was doing business with… Continue

Added by Marcie Belles on October 15, 2010 at 3:20pm — 3 Comments

The Savings Conundrum

Consumers have started to sock away their money, typically a good sign for the economy in the long run. But the effects on auto finance are yet to be decided.



These days, the personal savings rate has climbed to 6%, from about 1% in 2005. Higher savings typically encourage more investing and lead to improving standards of living, pointed out Chicago Fed Economist Bill Strauss in a presentation yesterday at the Auto Finance Summit.



But if consumers are saving more,… Continue

Added by Marcie Belles on October 13, 2010 at 10:15am — 1 Comment

The ‘Need’ Vs. ‘Want’ Consumer

A recent survey has noted that consumers are increasingly buying cars because they need them, not because they want them.



Specifically, only 21% of respondents to a study by Chrome Systems, a unit of DealerTrack, said they bought or leased a vehicle this year because they wanted something new, down from 32% in 2009. The No. 1 reason for replacement: their current vehicle was either unreliable or had broken down (26%, up from 19%).



Meanwhile, the American Bankers… Continue

Added by Marcie Belles on October 5, 2010 at 12:00pm — 2 Comments

Blog Topics by Tags

Monthly Archives

2013

2012

2011

2010

2009

2008


Subscribe to Auto Finance News by clicking here.

Members

Details

About Us
Guide to Posting Images
Videos
Code of Ethics
Advertise


Our Other Sites:
ACMG
AccountsRecovery.net
Bank Innovation
________________________

Subscribe to our sister publication, Auto Finance News. Click here to learn more about the industry's leading newsmagazine or here for VIP access.


You agree that in posting to this site you will abide by the Terms of Service spelled out below.

© 2013   Created by JJ Hornblass.

Badges  |  Report an Issue  |  Terms of Service