Subprime ABS delinquencies at least 60 days past due reached a peak that hasn’t been observed in two decades, according to data from Fitch Ratings. ABS subprime delinquencies grew 11.6% in February compared to the prior year, to a high of 5.16%, a rate not reached since October 1996 whenRead More
The auto finance market is moving faster than expected for World Omni Financial Corp., which is why the lender is focusing much of its efforts in 2017 on data integration and utilizing analytics, said Alfredo Cateriano, vice president of risk management, data, and analytics. “Our biggest challenge at World Omni,Read More
Rising floorplan finance interest rates — and manufacturer’s forcing too much inventory onto the dealer — prompted Buy Your Motorcycle to stop floorplan financing and sell four of its five dealerships, Owner Brad Van Horn told Powersports Finance.
Prime and subprime auto loss rates will rise above 1% and 6%, respectively, within the next six years, S&P Global predicts in its latest stress test report. However, if a recession hits — even a relatively mild one — those losses could be much greater. The report — titled “HowRead More
Toyota Research Institute is re-architecting the technology underlying the Guardian driver-assist system, to support Toyota’s autonomous cars with more capabilities to access a wider expanse of roadways, Mobility Buzz has learned.
Shared-risk recourse financing — when the dealership guarantees the paper, and essentially co-signs the loan — between dealerships and lenders could reemerge in powersports if subprime lending options falter, Chris Clovis, dealer principle of Freedom EuroCycle Las Vegas and BMW Motorcycles of Las Vegas, told Powersports Finance.
Last fall, at the F&I Reinsurance and Product Conference, GPW Actuarial Services shared some interesting data. Before the Great Recession, in 2007 and 2008, GAP losses peaked well above historical norms. In 2009, we saw significant reductions in GAP losses as financing tightened. However, since 2014, we have seen aRead More
BMW Financial Services received a request for information from the U.S. Justice Department regarding the company’s leasing compliance, under the Servicemembers Civil Relief Act (SCRA), according to documents obtained by Bloomberg. The Justice Department sought the information in August and BMW doesn’t know how many leases could be affected byRead More
Credit unions as a collective group grew auto loan originations by about 7% in 2016 while all other loan providers — captives, banks, finance companies, and buy here pay here locations — saw volumes decline year over year, according to Michael Cochrum, vice president of analytics and advisory services atRead More
Danny Martinez, president of startup Blinker, has joined the Auto Finance Innovation speaker faculty. Blinker, a used-car buy-sell app with financing capabilities for private-party transactions, is trying to streamline the car-buying process, not overtake dealerships, Martinez said. “Historically, the conventional dealership experience is a very sequential, rigid process, and forRead More
MotoLease LLC plans to hire a professional dealer training specialist in preparation for its dealer training seminars in April, Managing Partner Emre Ucer told Powersports Finance.
In 2017, the CFPB continues to influence and shape regulatory compliance requirements for vehicle lenders and servicers. Far from a concrete objective to be achieved and then forgotten, compliance under the CFPB places a fluid and changing the set of demands on your company. Making things even more complex areRead More
Tim Devine, Hyundai Capital America’s senior vice president of dealer services has left the company and has been replaced by Eckart Klumpp, formerly president and chief executive of Hyundai Capital Canada, a company spokesman confirmed to Auto Finance News. Devine was part of the Hyundai Capital America team for twoRead More
LAS VEGAS — Ford Motor Co. may be working on a car subscription service similar to the one General Motors rolled out for Cadillac earlier this year, according to Sandy Schwartz, president of Cox Automotive, speaking at the Conference of Automotive Remarketing last week. A Ford spokesman declined to comment andRead More