Westlake likely to take over SNAAC servicing

Westlake Portfolio Management will likely be tapped to handle servicing for Security National Automobile Acceptance Co.’s portfolio, Auto Finance News has learned. SNAAC announced yesterday that it will shutter operations this month. No firm details were given regarding the third-party servicer, but Westlake Portfolio Management has been ramping up business, reaching more than $500 million […]

• Bianca Chan
• August 8, 2019
• Exclusive, Operations

Honor Finance to square off against equity firm in $25M lawsuit

Honor Finance Founder James Collins will face off in a hearing this week against private equity firm CIVC Partners, which sued the now-defunct lender for $25 million for alleged fraud, according to a complaint filed in Cook County Circuit Court.  Chicago-based CIVC, which acquired Honor Finance in October 2011, claims that the lender misrepresented the […]

• Nicole Casperson
• July 23, 2019
• Risk Management

KBRA Withdraws Ratings as Honor Finance Securitization Winds Down

Honor Finance’s 2016 securitization has been withdrawn from Kroll Bond Rating Agency’s surveillance after being paid in full, the rating agency announced this week. The transaction had suffered two downgrades since July 2018, a month before the defunct company transferred its servicing to Westlake Portfolio Management. On June 17, servicer Westlake Portfolio Management exercised its […]

• Bianca Chan
• June 21, 2019
• Credit Performance

Westlake Takes Over Servicing for Bankrupt Lender Total Finance

Westlake Portfolio Management has taken over servicing for Total Finance, a Chicago-based lender that filed for Chapter 11 bankruptcy protection on Feb. 13.   Since April 1, Westlake Portfolio Management has been handling customer service, collections, title management, repossessions, and remarketing for Total Finance’s $100 million auto loan portfolio, the bulk of which consists of […]

• Joey Pizzolato
• May 28, 2019
• Capital Markets, Risk Management, Update

KBRA Downgrades Honor Finance Securitization — Again

Honor Finance’s 2016 asset-backed securitization has been downgraded for a second time by Kroll Bond Rating Agency due to cumulative net losses increasing to 31.2% compared with 29.4% over three collection periods, the rating agency reported April 25. The now-defunct subprime lender’s Class B notes were downgraded to B+ from BB+, and its Class C […]

• Joey Pizzolato
• May 1, 2019
• Capital Markets, Credit Performance

Pelican Ceases Originations Citing Increased Competition, Low Margins

Pelican Auto Finance LLC ceased originations and sold 95% of its portfolio earlier this month because it “entered the cycle at the wrong point,” Co-Founder and Chief Executive Troy Cavallaro told Auto Finance News. When Pelican entered the sector in 2013, “we thought it was the third inning of the cycle, but it was probably […]

• Natalie Mattila
• March 27, 2018
• All Posts, Credit Performance, Risk Management

BREAKING: Pelican Halts Originations, Transfers Portfolio to Westlake

Pelican Auto Finance LLC, a deep-subprime lender, stopped originating loans and transferred 95% of its portfolio to Westlake Financial Services‘ new venture Westlake Portfolio Management LLC on March 15, Auto Finance News has learned. Pelican halted originations as of Dec. 1, 2017, but began to taper off originations months before that time, co-founder and Chief […]

• Natalie Mattila
• March 21, 2018
• All Posts, Credit Performance, Risk Management