Articles by: George Yacik

Alternative Credit Scoring Helps Widen Pool of Eligible Borrowers

Alternative Credit Scoring Helps Widen Pool of Eligible Borrowers

Alternative scorers have built models that report more quickly and frequently than traditional scorers, and have access to consumers that would otherwise be difficult to reach. These are the so-called ‘underbanked,’ a pool of consumers that use nontraditional financial services out of need or preference.

New Model Gives Indie Dealers Greater Leverage

New Model Gives Indie Dealers Greater Leverage

One of the biggest problems independent auto dealers have is getting financing to run their credit operations. Now, a Milwaukee-area entrepreneur with a long auto sales pedigree has come up with a way to help dealers raise more money, and lower their financing costs while allowing a new group of investors to get into the auto finance business.

Lenders Struggle with CFPB Auto Dealer Edicts

Lenders Struggle with CFPB Auto Dealer Edicts

Lenders are being required to act as a “policeman” over the actions of their dealer clients—who are not regulated by the CFPB—and risk alienating those relationships even if the dealers haven’t violated any fair lending laws.

Are Repossessions The Best Market Strategy?

Are Repossessions The Best Market Strategy?

The costs associated with repossessing vehicles is rising sharply, even as consumers are much more inclined to pay their auto loans over their other debts, including their mortgages. That would seem to behoove loan servicers to explore more “borrower-friendly” tactics, including loan modifications, to keep customers in their vehicles and avoid repos except as a last resort.

Even door-knocking can benefit from technology

Even door-knocking can benefit from technology

Mobile technology has expedited the company’s ability to report back to its servicer clients on a nearly real-time basis. Previously, in some cases, the company took as long as two weeks to send results to clients, depending upon where the borrower and the vehicle were.

New Technology Creates Efficiencies, Lowers Risk

New Technology Creates Efficiencies, Lowers Risk

Technology can certainly make auto lenders more efficient, but it can also help them minimize risk.