Why Penetration Rates Are Dropping at Hyundai Capital, NMAC

LAS VEGAS — Hyundai Capital America expects rising interest rates to squeeze penetration ratios to 40% or 50% by yearend across all its franchise brands, Chief Executive Ross Williams said during a fireside chat at the Auto Finance Summit. Historically, the captive’s penetration rate has hovered around 70%, Williams said. However, the rising interest rate […]

• Nicole Casperson
• November 7, 2018
• Auto Finance Summit 2018, Credit Performance, Sales & Marketing

Residual Values Are Risk Factor in BMW Financial’s First Auto Lease ABS of 2018

BMW Financial Services of North America issued its first U.S. auto lease ABS of 2018 backed by a pool of outstanding lease receivables totaling $1.16 billion, according to presale reports. The new securitization is comprised of 33,670 prime auto lease receivables with an average FICO score of 789 and maximum lease term of 36 months, according […]

• Nicole Casperson
• October 8, 2018
• Capital Markets, Risk, Strategy

Auto Finance Feels the Pressure of Fed’s Rate Hikes

Major automakers are reporting declines for U.S. sales as signs of tightening credit conditions are adding pressure to financing options for consumers.  Ford, Toyota, Nissan, and Honda all reported sales declines in September of 11.2%, 10.4%, 12.2%, and 7%, respectively. Though Hyundai sales rose 0.6%, sibling brand Kia was down 1.8%, according to sales reports. […]

• Nicole Casperson
• October 4, 2018
• Earnings, Operations

Renault Alliance Launches $1B Investment Fund For Mobility Tech

The automotive alliance of Renault-Nissan-Mitsubishi has announced the launch of Alliance Ventures, a new corporate venture capital fund that plans to invest up to $1 billion over the next five years, according to a press release. Alliance Ventures is a corporate effort to support open innovation in automotive technology, with a focus on new mobility […]

• Matthew Wood
• January 10, 2018
• Capital Markets, Innovation & Mobility, Strategy

Nissan Introduces Brain-to-Vehicle Technology [Video]

With the Consumer Electronics Show (CES) approaching, automakers are showing off their latest technological advancements in autonomous vehicle research, including Nissan’s new brain-to-vehicle technology. Brain-to-vehicle, or B2V, is the concept of a car anticipating your driving reactions even before you have the chance to start turning the wheel or applying the brake. This neural interface, […]

• Emma Sandler
• January 4, 2018
• All Posts, Innovation & Mobility, Technology, Videos

Electric Vehicle Credits Remain in 2017 Tax Reform Bill

A tax credit of up to $7,500 for electric vehicles survived in the final tax reform bill that was sent to President Donald Trump to sign, signaling a win for automakers. The House of Representatives bill originally struck the Obama-era provision as of Dec. 31, but the Senate version of the bill was ultimately the […]

• Emma Sandler
• December 21, 2017
• All Posts, Archives, Innovation & Mobility, Operations

Average Fico Drops in Nissan’s Latest ABS Issuance

The weighted average Fico score in Nissan Motor Acceptance Corp.’s latest securitization dropped 3 points to 772 — as compared to the captive’s previous transaction — yet still ranks among the highest credit quality of issuances that Moody’s Investors Service has rated, according to the presale report released last week. “Nissan’s Fico score is currently […]

• Huixin Deng
• August 15, 2017
• Archives, Capital Markets, Operations, Risk

NMAC Makes Several Management Changes

  Shortly after installing a new president of Nissan Motor Acceptance Corporation (NMAC), the captive announcing a couple other executive changes, according to a press release today. After almost 32 years working with Nissan, Mike McConnell, vice president of operations for NMAC, will retire on Aug. 31. He will be replaced by Andres de la Parra, the current […]

• Emma Sandler
• August 4, 2017
• Operations