Term Extensions Trump Rate Cuts for Tackling Affordability, TransUnion Says

Despite concern that rising interest rates will slow new-car sales, loan term extensions will move the needle quicker on monthly loan payments, Brian Landau, senior vice president and TransUnion’s auto line of business leader, told Auto Finance News. Auto lenders originated 7.1 million loans through the third quarter of 2018, up 0.5% year over year, TransUnion reported this […]

• Nicole Casperson
• February 22, 2019
• Operations, Strategy

Biometrics, Behavior Trends Shield Lenders From Online Fraud, Experian Says

As financing moves increasingly onto the digital stage, one fraud expert urged auto lenders to leverage more data and analytics beyond the common credit data and ID verification tactics used today. Experian’s Senior Fraud Solutions Consultant Chris Ryan said auto lenders are particularly vulnerable to the use of synthetic identities, which he noted is on […]

• Bianca Chan
• February 6, 2019
• Risk, Technology

60% of Consumers Initiate Car Buying Online, TransUnion Says

TransUnion is making efforts to support the “paradigm shift” in auto finance that has consumers looking at financing as the first step to the car buying process instead of the last, Brian Landau, senior vice president and automotive business leader, told Auto Finance News. The credit bureau launched an online tool, Auto Payment Shopper, that […]

• Nicole Casperson
• January 25, 2019
• Sales & Marketing, Strategy, Technology

2019 Survival Guide: How Lenders Are Planning for the Year Ahead

From the January issue: 2018 was a strong year for auto finance as delinquency rates dropped, the economy grew, and consumer demand remained high. However, the new year finds lenders and analysts bracing for an economic slowdown. But that’s not the only worry. New-car purchases are lagging, according to Manheim’s November data, which has new-vehicle sales […]

• Nicole Casperson
• January 4, 2019
• Archives, Compliance, Credit Performance, Features, Innovation & Mobility, Risk, Strategy, Technology

Subprime Originations Expected to Grow in 2019 Despite Lender Caution, TransUnion Says 

Anticipated growth in originations to subprime borrowers is a sign that the auto industry is normalizing and will stay healthy in 2019, Brian Landau, senior vice president and TransUnion’s auto line of business leader, told Auto Finance News. Following a lender pullback from the subprime space in 2016 and 2017, subprime as a percent of […]

• Nicole Casperson
• December 12, 2018
• Credit Performance, Operations, Strategy

Bigger Risk Appetites, Less Competition Spur Subprime Volume

After eight straight quarters of credit tightening, lenders are widening risk parameters to reach more subprime borrowers. The reentry into lower credit tiers stems from an increase in lenders’ use of alternative data to underwrite loans, which translates to more affordable options for subprime borrowers, said Brian Landau, senior vice president and automotive business leader […]

• Bianca Chan
• November 21, 2018
• Credit Performance, Risk, Strategy

Synthetic Auto Fraud Balances Top $600M

Lenders are focusing their fraud departments on dealership activities lately, but lenders “discount the quantity and the scale of identity fraud and synthetic fraud that may be hitting them,” Geoff Miller, head of global fraud and identity solutions for TransUnion, told Auto Finance News. Outstanding suspected synthetic balances increased 5.2% year over year through 2Q18 […]

• Nicole Casperson
• October 2, 2018
• Risk, Strategy

Survey Shows Lack of Interest in Refinancing

Although a number of direct lenders and fintech loan aggregators have focused on offering refinance products in the past year, the majority of consumers may be uninterested, according to a poll conducted by Auto Finance News. Using Survey Monkey, 100 consumers with current auto loan payments were asked about marketing materials they have seen about […]

• William Hoffman
• September 12, 2018
• Strategy