Federal Reserve Urges Regulatory Oversight of AI...
by Nicole Casperson on November 14, 2018 at 6:26 pm
http://douglasat201.org/meta.php As auto lenders increasingly turn to technology to better their businesses, the Federal Reserve is evaluating the regulatory role the agency will play with regard to artificial intelligence, Fed Gov. Lael Brainard said Tuesday during a fintech conference in Philadelphia. “We are working across the Federal Reserve System to take a deliberate approach to understand […]
Hyundai Capital America CEO on the Challenges the...
by Monica Melton on November 14, 2018 at 6:25 pm
follow site Hyundai Capital America CEO and President Ross Williams spoke at the 18th annual Auto Finance Summit about the company’s strong growth and the challenges he’s dealing with today. “I remember celebrating reaching $10 billion in assets seven years ago. A couple of years later it was $20 billion. A couple of years later it was $30 billion,” said […]
Affordability, Credit Access Spur Used-Vehicle...
by Monica Melton on November 14, 2018 at 4:00 pm
Tighter underwriting standards and vehicle affordability are spurring new-car shoppers to buy used, Lawrence Dixon, senior director of valuation services at J.D. Power, told Auto Finance News. “In an environment where new-vehicle demand is plateauing, we believe a big reason for that is affordability,” Dixon said. “New-vehicle affordability is becoming increasingly difficult to attain, consumers […]
Hudson Valley FCU Settles DOJ Investigation Over...
by Nicole Casperson on November 13, 2018 at 5:32 pm
Hudson Valley Federal Credit Union has agreed to pay the Department of Justice $95,000 following allegations that the lender violated the Servicemembers Civil Relief Act, a law designed by the DOJ to ease financial burdens on servicemembers during periods of active military service. HVFCU, based in Poughkeepsie, N.Y., allegedly repossessed nine vehicles owned by SCRA-protected servicemembers […]
Lincoln Financial, MBFS Top Consumer Satisfaction...
by Monica Melton on November 13, 2018 at 5:25 pm
Lincoln Automotive Financial Services and Mercedes-Benz Financial Service tied for first place in J.D. Power’s luxury brand customer satisfaction index ranking, published this week. Consumer satisfaction was gauged in five areas: billing and payment processing; mobile app experience; onboarding; origination; and website experience. On a 1,000-point scale, both companies scored 877. This year’s study found that consumers are making […]
Alt-Data Helps Lenders Overcome Underwriting...
by Monica Melton on November 13, 2018 at 5:13 pm
LAS VEGAS — Lenders are making alternative data a more integral part of the underwriting process. In the subprime sector, alternative data can paint a clearer picture and better assist lenders in assuming comfortable risk levels. “The more information you can have, the better a decision you can make and potentially price loans the right […]
Federal Reserve Reveals Plans to Ease Stress Tests
by Nicole Casperson on November 12, 2018 at 6:38 pm
The Federal Reserve is reducing the volatility of stress tests for the nation’s largest financial institutions, Federal Reserve Vice Chair for Supervision Randal Quarles said during a Nov. 9 speech at the Brookings Institution in Washington, D.C. The Fed is proposing changes that are designed to roll back Obama-era financial regulation, which consists of an […]
Interest Rates Will Weigh Down Auto Sector...
by Monica Melton on November 12, 2018 at 6:34 pm
Comerica Bank’s Chief Economist and SVP Robert Dye expects that the U.S. economy could be headed for a “fiscal cliff” next year. Despite a somewhat confident consumer segment, the weight of interest rates on the auto industry will soon take effect. When it comes to consumers, “It is the best of times and the worst […]
TD Auto Aims to Resolve Customer Payments in Wake...
by Nicole Casperson on November 12, 2018 at 5:59 pm
TD Auto Finance has worked up a plan to help borrowers negatively affected by the Reagor Dykes Auto Group bankruptcy case, according to court documents filed earlier this month. Consumers who obtained vehicles through the Lubbock, Texas-based dealership chain, which filed for Chapter 11 bankruptcy protection in August, were unable to properly register their new […]
Dealertrack Looks to Speed Car Buying Process
by Monica Melton on November 9, 2018 at 6:20 pm
Dealertrack, with the launch last week of its uniFI dealership management and F&I software product, is looking to streamline dealer workflows and shorten the amount of time it takes to buy a car. A Cox Automotive study published in July found that dealership personnel uses an average of six platforms to complete a deal and […]
Preparing for a Subscription Economy
by EFG Companies on November 9, 2018 at 2:30 pm
Rapid changes are taking place in the way people buy things. The U.S. is moving toward a subscription-based economy, driving companies to focus less on individual sales, and more on gaining recurring customers. This trend is seen across industries, in companies like Netflix, Blue Apron, Spotify, Amazon, and now BMW, Mercedes, and Audi. But, how […]
Election Analysis: AFSA Examines the Midterm...
by American Financial Services Association on November 9, 2018 at 12:20 pm
The 2016 midterm elections are history and we now know that the House of Representatives will shift control to the Democrats, while the Senate will have a strengthened Republican majority. Of particular interest to AFSA members, Tuesday’s winners include the former chief of staff of the Presidential Task Force on the Auto Industry, a mortgage […]
Tricolor Auto Preps First Rated Securitization
by Monica Melton on November 8, 2018 at 6:26 pm
Buy-here, pay-here lender Tricolor Auto Acceptance LLC is preparing to issue its first rated securitization, a $101.7 million transaction slated to close Nov. 21, according to a Kroll Bond Rating Agency presale report released this week. The securitization is backed by loans with a weighted average Fico score of 583 and a weighted loan-to-value ratio […]
Mountain America CU Eyes Fintech Partners in 2019
by Monica Melton on November 8, 2018 at 4:37 pm
Mountain America Credit Union is scouting fintech partners to provide self-service options, plus mobile and online capabilities to its auto finance customers. “We’re looking at partnership models with fintechs, that’s our biggest focus over the next six to 18 months,” said Jade Beckman, vice president of consumer lending at the West Jordan, Utah-based credit union, […]
California, Michigan Auto Sales to Decline as...
by Monica Melton on November 8, 2018 at 3:37 pm
LAS VEGAS — Economic weaknesses in Michigan and California may dampen auto sales and financing volume, said Robert Dye, senior vice president, and chief economist at Comerica Bank. “On a regional basis, we’re seeing weakness in the Midwest, and we’re also seeing weakness in the West, so there’s an affordability issue,” Dye said in a […]
For Toyota Pilot Programs, Focus Moves to...
by Monica Melton on November 7, 2018 at 5:27 pm
Toyota Finance Services has deployed several pilots in ridesharing and car rental services. The company gave specific insight into the findings from two of these pilots at this year’s Auto Finance Summit. “A variety of scenarios are going to coexist in the future, it’s between personally owned and shared, and autonomous vehicles and driver-driven,” Sabreen […]
Why Penetration Rates Are Dropping at Hyundai...
by Nicole Casperson on November 7, 2018 at 2:38 pm
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 […]
Lease Demand for Tesla Model 3 Beats BMW, Mercedes
by Nicole Casperson on November 7, 2018 at 2:00 pm
Consumers seek leases on Teslas 26% more often than on Mercedes-Benz vehicles and 20% more frequently than on BMWs, Scot Hall, executive vice president of operations at car lease transfer marketplace Swapalease.com, told Auto Finance News. Currently, Tesla offers leasing options on its Model X and Model S variants but not on the lower-priced Model […]
How USAA Is Improving Experiences for Members...
by Monica Melton on November 6, 2018 at 5:26 pm
USAA has specific objectives around customer service and simplifying the consumer-facing loan application process. The bank’s priorities heading into 2019 are to continue to provide an end-to-end digital experience for members to find and finance cars. “As a direct lender, we facilitate the process from research to enabling that member to apply online, decisioning that […]
BBVA, NMAC, TD Bank, Wells Fargo See Tech as Top...
by Nicole Casperson on November 6, 2018 at 3:00 pm
LAS VEGAS — Digital transformation and changing consumer communication trends will be top priorities for four of the nation’s largest lenders in 2019, according to an exclusive Auto Finance News survey of the resource-allocation plans among the companies’ senior executives. Results from the survey of BBVA Compass, Nissan Motor Acceptance Corp., TD Bank, and Wells […]