Why Lenders Should Pay Attention to the Fed’s Interest on Excess Reserves

Federal Reserve Chairman Powell’s announcement on September 26 of the Fed Funds target range increase to 2-2.25% was widely covered in the news. It was generally messaged like most rate increase announcements. That message is that its important news we were all waiting for and could now take necessary action. The truth is, this announcement […]
  • Samuel Ellis
  • October 5, 2018
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Demand for Auto Loans Weaken, Fed Finds

Banks reported that demand for auto loans weakened in the second quarter, while demand for other consumer loans remained “basically unchanged,” according to the Federal Reserve. The findings come from 76 domestic banks and 22 U.S. branches and agencies of foreign banks surveyed by Senior Loan Officer Opinion Survey on Bank Lending Practices, whose results were released […]
  • Emma Sandler
  • August 1, 2017
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Signs of Further Market Decline

The rumblings around a deterioration in the auto lending sector have gotten louder. This morning the Federal Reserve published its bimonthly Beige Book report on regional economic activity, and it displays cracks in the auto finance facade. Regional Fed banks report tightening credit in various pockets around the nation. For example, the New York Fed […]
  • JJ Hornblass
  • June 2, 2017
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Few Banks Tightened Credit Standards for Auto Loan Approval, Fed Finds

Several large auto lenders reported elevated delinquencies and losses in the fourth quarter, but only 13% of banks surveyed by the Federal Reserve have tightened credit standards for approving auto loans. Meanwhile, 85% reported standards remained “basically unchanged,” while, on the bright side, no respondent reported loosening standards, according to the Senior Loan Officer Opinion […]
  • Larissa Padden
  • February 8, 2017
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