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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CREDIT: Increase in Loans, Increase in Subprime

More consumers have chosen to finance their vehicles, while lenders have dug deeper into subprime space, experts suggest. Subprime Overall, 75.6 million consumers had an auto loan in the fourth quarter 2015, according to TransUnion. The number is up 7.8% year over year – the largest YoY increase since the agency began tracking the data. […]
  • Diana Asatryan
  • February 23, 2016
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4 Spot-On Resolutions for Auto Finance Execs in 2016

Did you make New Year’s resolutions yet? Here’s our input, AFN’s list of four spot-on resolutions that auto finance executives should take note of in 2016.   1. Keep Up with Interest Rates The Federal Reserve’s 0.25% rate hike in December will not immediately affect the auto finance industry, analysts say. That said, lenders should expect more […]
  • Diana Asatryan
  • January 5, 2016
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Lenders Find New Volume in Refis

Refinancing has an increasing role to play in auto lending. As the average vehicle loan increases in size and stretches to seven years and beyond, borrowers in some cases can lower their monthly payments significantly by refinancing and save hundreds of dollars over the course of the loan, according to interviews with auto finance industry […]
  • George Yacik
  • June 19, 2015
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By How Much Will Interest Rates Increase?

More than a few lenders have been holding their breath, anticipating a notable increase in interest rates. They might want to exhale now. I was surprised to read two new reports that implied interest rates might stay where they are — the US Treasury 10-year is at the wildly low 1.89% — for some time. […]
  • JJ Hornblass
  • April 17, 2015
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