Chase Auto Finance, the auto loan unit of JPMorgan Chase & Co., grew its overall portfolio last quarter 1.4% to $43.1 billion. Despite the overall portfolio growth, Chase auto loan originations fell 5.4% to $5.3 billion from $5.6 billion in the first quarter of 2009. Chase also originated $5.6 billion in the second quarter of 2008.
Credit performance in Chase’s auto portfolio improved. Auto charge offs fell to 1.36% of outstandings last quarter from 1.66% in the previous quarter, although 2Q09 charge offs were higher than the 1.07% recorded in the same quarter in 2008.
The percentage of total charge offs in JPM’s consumer portfolio was 2.87% last quarter, up from 2.33% in 1Q09 and 1.89% in 2Q08.
“In auto loans, there has been an improvement in credit, all things being equal,” Dimon said today.
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(Updated at 12:04 p.m. ET)
