The Auto Finance Roadmap

Banks last week announced in their earning calls plans to continue pulling back on auto lending as interest rates constrained vehicle sales amid improved supply. In this episode of the Weekly Wrap, the Auto Finance News editors discuss ongoing Q4 earnings and what is to come in the week ahead. 

A discussion on the top stories for the week ended Jan. 13. In this episode of the Weekly Wrap, Deputy Editor Amanda Harris, Editor Joey Pizzolato and Associate Editor Riley Wolfbauer discuss the start of Q4 earnings and what is to come in the week ahead.  

In this episode of the Weekly Wrap, Editor Riley Wolfbauer discusses last week’s top stories, and what is to come in the week ahead. Last week was marked by records as supply improved, ATP hit a record high for the second month in a row, and dealer sentiment fell to its lowest point since the pandemic.  

Ally Financial Chief Executive Jerry Brown said he sees minimal exposure risk to Carvana’s woes. Still, website traffic for the retailer has been declining for three months, and consumer complaints continue to increase.  

Carvana’s financing volume dropped for the sixth straight month in October as high interest rates and inflation impact affordability, falling 24.3% year over year to 16,604 contracts, according to the latest AutoCount data. In this episode of the Weekly Wrap, Deputy Editor Amanda Harris, Editor Joey Pizzolato and Associate Editor Riley Wolfbauer discuss this week’s top stories, and what is to come...

Auto credit availability continued to improve in October while regulation scrutiny ramped up. Regulators continue to home in on fees related to auto lending. Florida Attorney General Ashley Moody’s office is investigating several dealerships and lenders following consumer complaints regarding fees associated with lease end buyouts.  

Each of the major automotive retailers recorded year-over-year increases in finance and insurance (F&I) revenue in the third quarter amid strong penetration rates.  Asbury Automotive recorded the largest YoY jump at 99% while Sonic Automotive recorded the smallest increase of 1%.

In this episode of the Weekly Wrap, Editor Joey Pizzolato and Associate Editor Riley Wolfbauer discuss the week’s top stories, and what to expect in the week ahead.  

In this episode of the Weekly Wrap, Deputy Editor Amanda Harris and Associate Editor Riley Wolfbauer discuss trends from the Summits. 

Bank of America , Chase Auto , Citizens Bank , Fifth Third Bank , Huntington Bank , PNC Financial , U.S. Bank and Wells Fargo have all reported sequential declines in outstandings for Q3. Citizens Bank recorded the largest quarter-over-quarter decline at 5.1%. Alternatively, Ally Financial and Truist are the only institutions to report sequential increases at 2.2% and 2.9%, respectively. 

Third-quarter earnings season kicked off last week, painting yet again another dismal outlook for the auto finance industry. Chase Auto and Wells Fargo Auto reported origination volume declines of 35% year over year and 41% YoY, respectively, as limited vehicle supply and higher interest rates limit auto loan production.  

Used-vehicle values continue to stabilize amid slowing sales and a dip in consumer demand. At the same time, rising interest rates and a lack of used-vehicle supply are making it challenging for lenders to address affordability problems, driving some subprime consumers out of the market altogether. 

For the last two months, the Auto Finance News editorial team has been investigating income and employment loan fraud and efforts by scammers to sell credit privacy numbers, fake pay stubs and false verifications of employment to help consumers obtain credit, including auto loans. 

The auto finance landscape continues to evolve in the wake of rising interest rates, elevated vehicle prices and long-running supply shortages. Last week, the Bank Automation Summit shed light on lenders’ shift to cloud technology and efforts to satisfy compliance and regulatory guidelines.   

Last week, FinovateFall in New York City was in full swing, bringing together fintechs and financial institutions for three days of technology demos, panel discussions and fireside chats, and the Consumer Financial Protection Bureau and the Federal Trade Commission have teamed up to challenge a lower court’s ruling that is poised to have far-ranging implications in lenders’ ability to determine wh...

Solera, a Westlake, Texas-based vehicle lifecycle management solution provider, has partnered with fintech DigniFi to allow consumers to finance between $350 and $7,500 for vehicle repairs and maintenance. Affordability is becoming a growing concern in the automotive industry in the face of a looming recession. In fact, economists at analytics company S&P Global last week increased the chance...

Last week, credit unions continued on a steady march to claim more market share, reaching a five-year high amid limited inventory and rising interest rates as the auto finance industry continues to feel the effects of manufacturing constraints and inflationary pressures. In this episode of the Weekly Wrap, the Auto Finance News editors discuss the top stories for the week ending Sept. 2, and what...

This week brought a range of activity in the auto finance industry, with Elliot International suing Santander Holdings USA (SHUSA) following the company’s acquisition of Santander Consumer USA, while powersports leasing company Speed Leasing resumed originations after a two-year hiatus. In this episode of the Weekly Wrap, the Auto Finance News editors discuss the top stories for the week ending Au...

Technology investments in the auto finance industry showed no signs of slowing last week as more lenders announced new partnerships and internal overhauls.  In this episode of the Weekly Wrap, the Auto Finance News editors discuss the top stories for the week ending Aug. 19, and what to expect in the week ahead.

The landscape of data privacy is changing on the heels of the Federal Trade Commission ’s (FTC) amendments to the Gramm-Leach Bliley Act (GLBA) and as states enact their own data privacy laws in an effort to fill gaps not covered by federal laws. 

Auto lenders continued their investment in technology advancements as the industry leans into widespread digitization amid uncertain economic conditions. In this episode of the Weekly Wrap, the Auto Finance News editors discuss the top stories for the week ending Aug. 12, and what to expect in the week ahead.

Last week the auto finance industry entered the tail end of second-quarter earnings season as used-vehicle values depreciated for the second straight month and the unemployment rate remained strong. Credit Acceptance, Carvana and Solera Auto Finance posted increased origination volume in Q2 even as credit demand weakened.

Earnings season continued in full swing last week, with two major powersports OEMs and two U.S.-based captives reporting second-quarter results. In this episode of the Weekly Wrap, the Auto Finance News editors discuss the top stories for the week ending July 29, and what to expect in the week ahead.

Ally Financial, Bank of America, Capital One, Huntington Bank and Truist posted auto loan growth, while U.S. Bank, Citizens and Fifth Third Bank logged sequential declines in outstandings. Capital One, Citizens, Fifth Third and U.S. Bank intentionally backed off auto lending in Q2 due to rising interest rates, tightened inventory and elevated vehicle prices.

Last week, second-quarter earnings season kicked off with Chase Auto, PNC Financial and Wells Fargo Auto reporting drops in auto loan production, painting a less-than-optimistic outlook for the industry marked by on-going inventory shortages and rising interest rates. In this episode of the Weekly Wrap, the Auto Finance News editors discuss the top stories for the week ended July 8, and what to ex...