Auto Finance News | The News That Drives the Industry - Part 2

Lenders dip down credit spectrum, boost originations in 2Q

As auto lenders opened their books of business to borrowers further down the credit spectrum, total auto debt increased 4.8% year over year to a record $1.3 trillion, according to the New York Federal Reserve Quarterly Report on Household Debt and Credit.  The report, which uses data from Equifax, showed that auto debt from loans […]

Carvana’s originations skyrocket in 2Q

Carvana’s second-quarter earnings were “the most successful quarter-to-date” for the finance platform, Chief Financial Officer Mark Jenkins said during the company’s earnings call yesterday. Carvana’s originations shot up 124.7% year over year to $1.2 billion, compared with $525 million in the prior-year period. In addition, finance gross profit per unit was a record $1,100 — […]

Loose auto underwriting points to ‘weak’ credit outlook, Moody’s says

Lenders did little to tighten auto loan underwriting last quarter despite worsening delinquency trends. Last quarter, 3.5% of bank respondents in the Federal Reserve's Senior Loan Officer Opinion Survey reported to have somewhat tightened credit standards. The remaining 96.5% said standards remained basically unchanged. Given the "rapid rise in auto loan debt," however, banks would […]

American Credit Acceptance adds collectors as originations climb

Originations shot up 71% year over year at American Credit Acceptance, to $510 million last quarter, according to a presale report from Kroll Bond Rating Agency. The report details ACA’s latest securitization, a $302.8 million transaction slated to close Aug. 22. On the heels of its loan growth, ACA added 12 employees to its servicing […]

Carvana ramps up car-buying business

Carvana is allocating more marketing dollars and technological capabilities to the company’s business of buying cars, something Chief Executive Ernie Garcia called “a significant fundamental step toward achieving our long-term goals.” As the company continues to expand geographically, light inventory has been a “pinch point” for Carvana, Garcia said in the company’s second-quarter earnings call […]

VW Financial and Daimler Mobility launch UK used-car platform

Volkswagen Financial Services and Daimler Mobility have expanded online used-car marketplace Heycar into the U.K., bringing an inventory of more than 100,000 vehicles across 1,400 dealerships. The U.K. used-car market is valued at $60 billion, and financing is valued at $21.2 billion, according to Heycar.   Heycar’s platform, which launched nearly two years ago in Berlin, partners with […]

In memoriam: David Buchanan

With a heavy heart, we regret to inform you of the Aug. 11 passing of David Buchanan, former head of Fidelity Bank’s indirect lending business and an esteemed member of the AutoFinanceNews.net community. He was 62. David was a 40-year veteran of the financial services industry — he spent 23 of those years at Fidelity. […]
  • Auto Finance News
  • August 14, 2019
  • People

CarLabs readies phase 2 of AI-chatbot for Kia Motors Finance

Kia Motors Finance customers will be able to make account-specific queries online as soon as the first quarter of 2020, CarLabs.AI Chief Executive Martin Schmitt told Auto Finance News. The AI-chatbot developer integrated a navigational chatbot onto the captive’s website in April, which directs customers to the right resource and answers questions such as, “When […]

Tricolor debuts insurance program

Tricolor Auto Group is diving into the auto insurance business with the creation of Tricolor Insurance Agency, the company announced today. Tricolor Auto Insurance has signed up with 10 “nonstandard” carriers in Texas, said Chief Product Officer Mauricio Delgado, referring to insurers that offer coverage to high-risk customers. Tricolor will not underwrite the policies; instead, […]

Fair eyes new debt funding

Fair is in discussion with a "major global financial institution" for as much as $500 million of debt funding, Co-Founder Georg Bauer told Auto Finance News. To date, the 3-year-old vehicle subscription company has raised $1.5 billion in funding over nine rounds. "Once this [funding] is closed, we are picking up our work with the […]
1 2 3 4 772