Flagship Credit Acceptance’s warehouse lenders bumped up and extended its credit line last month, according to a Kroll Bond Rating Agency presale report released last week.
The five financial institutions backing the funding facility increased its capacity by 12.5% — to $900 million — through October 2020. Flagship has approximately 90% capacity remaining on the facility.
Even with the increase, though, the warehouse facility is smaller than Flagship’s credit line back in 2016.
“The warehouse facility was decreased from $1 billion to $800 million due to reduced forward-looking origination volume,” KBRA wrote in a November 2017 presale report.
Flagship has originated $786.6 million of loans through September, bringing its portfolio to $2.8 billion, according to KBRA. The Chadds Ford, Pa.-based company does business with 11,095 dealers, up 5% year over year.
