TCF’s Auto Sector Exit Intensifies Profitability Concerns at Regional Banks

The announcement this week that TCF Bank will shutter its indirect auto finance unit, Gateway One Lending & Finance LLC, caps a year that has been volatile for mid-sized regional banks, according to Peter Winter, analyst at Wedbush Securities. “Most banks are surprised how long the credit cycle has lasted for the [mid-tier] bank group,” […]
  • William Hoffman
  • December 6, 2017

Prior to Business Exit, TCF Scores Pointed to Waning Performance

In announcing TCF Bank’s exit last week from the auto sector, CEO Craig Dahl said subsidiary Gateway One Lending & Finance “performed as expected” under the new direction set earlier in the year. Yet, data from the 2017 Auto Finance Performance initiative paint a picture of a lender whose representatives were falling short of dealer […]
  • Marcie Belles
  • December 5, 2017