LendingTree is working to expand its network of lending partners in an effort to better cater to subprime borrowers, Marketing Manager Mike Ouyang told Auto Finance News.
The automotive vertical continued its strong growth during the second quarter of this year by adding new lending partners as well as strengthening the marketing and customer reach, Ouyang said. “Because of our emphasis on speed, simplicity, and quality, we have seen an increasing number of loan offers and closed loans year-over-year,” he added.
At this point, the Charlotte, N.C.-based company’s customers skew fairly prime, with new and used-car loans ranging from 36 to 60 months and a minimum credit score of 664. However, LendingTree is noticing a steady rise in consumer demand this year despite some market seasonality, according to Ouyang.
“We have not seen a significant change in the mix of subprime borrowers shopping on the network,” he said. “But we are currently working on growing our lender partnerships to better cater to the subprime customers that already come through.”
For the rest of the year, LendingTree plans to “improve coverage of all consumer credit segments” across the country to provide “better value and choices to our shoppers.”
LendingTree declined to offer origination volume or the total number of lenders currently in its network. According to the company’s second-quarter earnings presentation, Capital One Auto Finance, Santander Consumer USA, and Wells Fardo Dealer Services are all partners.
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