Consumer Portfolio Services Inc. is increasing its direct-to-consumer loan portfolio — which currently stands at $6 million — each month, said Mike Lavin, the company’s executive vice president and chief legal officer.
Currently, CPS generates about 100 direct loan originations a month and is on track to bump up that number to its yearend goal of 125.
CPS began its direct lending program, New Roads Auto Loans, in April 2015 to reach a broader customer base and enable consumers the ability to apply and be pre-approved online, before visiting a dealership.
The Las Vegas-based subprime lender is focused on growing “in a responsible way” and keeping delinquency levels flat, Lavin said. “We want to cross every ‘t’ and dot every ‘i’ on every single loan we buy going forward, and not take any shortcuts in underwriting in order to grow,” he said.
CPS plans to control delinquency levels through the continued implementation of texting features and mobile payments, he said.
