BofA Auto Originations Soar 35%
Bank of America reported double-digit growth in its auto loan origination volume this morning — up 35% both on a year-over-year and quarterly basis, totaling to $7.7 billion, the bank said. BofA also reported a $45 billion total auto portfolio, up 15% from $39 billion in 1Q15.
The company said it remains the number one bank in prime auto credit mix, with the largest percentage of customers with scores 740 and plus among competitors.
Together with the two other banking giants – JP Morgan Chase & Co. and Wells Fargo & Co. – BofA reported an increase in its mobile banking userbase. The bank reported 17.1 million active mobile users in 1Q16, up 4.4% from the last quarter, making it one of the fastest-ever quarterly growths for BofA in terms of mobile usage, CEO Brian Moynihan said during the call.
“Technology is just so critical these days, and our bank has made incredible investments in technology and in the online mobile experience,” David Hollodick, senior vice president of consumer vehicle lending at Bank of America, said at the recent AFSA Vehicle Finance Conference. “But at some point you have to know how to underwrite, lend, be a good creditor, and service that business.”
| Active Mobile Banking Users | 1Q15 | 4Q15 | 1Q16 | QOQ | YOY |
| JPMorgan Chase | 19.9 | 22.8 | 23.8 | 4.4% | 19.2% |
| Wells Fargo | 14.9 | 16.2 | 17.7 | 9.3% | 18.8% |
| Bank of America | 17.1 | 18.8 | 19.6 | 4.4% | 14.6% |
Learn more about the tech and disruption in the industry at Auto Finance Innovation 2016, May 11 in Fort Worth, Texas. Visit www.autofinanceinnovation.com and to learn more about the Auto Finance Risk & Compliance Summit, visit www.afrcs.com
