There is a lot of buzz around the word innovation, and why it is important to a business and its company culture. I recently came across an article written by Andre Durand titled, “4 Tips to Foster a Company Culture of Innovation,” and whereas I agree with all of his insightfulRead More
Post Tagged with: "risk management"
In auto finance, the concept of risk management boils down to creating profitable ― not perfect ― predictions about whether consumers will repay their car loans. With data availability increasing at a rapid pace, and advancements in decisioning and pricing algorithms constantly being developed, lenders must prepare for a highlyRead More
While underwriting is known for the “three Cs” ― credit, capacity, and collateral ― corporate risk can best be boiled down to the “three Ps”: people, process, and programs. That was the message from Mark Humphrey, Tidalwave Finance Corp.’s chief credit officer, in a session at the Auto Finance RiskRead More
The Consumer Financial Protection Bureau, the Department of Justice, and other regulators have made it clear in recent weeks that they will continue to crack down on auto lending operations. While only a handful of financiers have been cited for alleged violations so far, plenty of other companies have acknowledgedRead More
What’s needed to stay innovative in auto finance risk management today? Data, data, and more data, according to Preston Cecil, vice president of risk management at Innovate Auto Finance in Fort Worth, Texas. Cecil spoke about how to not only use existing data, but also find new data, during yesterday’s CenterRead More
DELINQUENCIES Auto loan delinquencies are on the rise, loan terms are getting longer, and as subprime auto lending continues to grow, so does the fear that the industry is on the brink of creating a similar financial crisis that caused the recession about five years ago. That’s the upshot inRead More
Can Malaysia Airlines survive two tragedies in four months? This is the question that Tim Calkins, a professor of marketing at Northwestern University’s Kellogg School of Management, asked this week. The question is an important, not just because many Malaysia Airlines jobs are at stake, but because it is applicable toRead More