Errors were found on subprime borrowers credit reports
The auto financing company First Investors Financial Services Group was fined $2.75 million on Wednesday by the Consumer Financial Protection Bureau for reporting incorrect information to credit agencies that affected thousands of customers.
It looks like Americans are feeling more confident about borrowing money again, at least when it comes to their cars. Credit reporting giant Equifax has released its latest National Consumer Credit Trends Report, and the data suggests that auto lending is booming in 2014.
If you're a real estate broker and see someone pulling up to your listed property in a Nissan Leaf, you should probably pay attention, because there's a pretty good chance that the driver of the very quiet car will be able to score a mortgage. According to data from Experian Automotive, EV owners tend to be both younger and more affluent than buyers of hybrid vehicles. Additionally, those EV buyers have excellent credit, says Experian, whose expertise is keeping track of these things.
Experian, the US credit reporting agency, recently concluded a study into the financing and credit scores of US car buyers. One of the prime findings was that Volvo buyers enjoy the strongest credit scores among new car shoppers from all brands (nota bene, these are Experian's own numbers and can differ from other agencies). Unlike the Forbes report on the same story, though, we don't find that surprising at all, nor do we think it necessarily helps Volvo's upscale brand aspirations. The Gothenb
Thailand's government is discussing a tax rebate of up to 100,000 baht ($3,317 U.S. at the current exchange rate) for buyers of vehicles with engines that displace 1.5-liters or less. The move could cost the government an estimated 30 billion baht ($99.5 million U.S.), with up to 500,000 buyers possibly snatching up qualified vehicles to take advantage of the rebate.
With today's dire economic climate, it should come at no surprise that delinquencies on automotive loans climbed last year. But what's perhaps counter-intuitive is, despite a particularly acute financial crunch, Michigan's residents owe less on their car and truck loans than their counterparts in any other state. In fact, 35 states have a higher delinquency rate than Michigan, according to the latest findings of TransUnion, one of the country's largest consumer credit agencies.
After announcing earlier this week that GMAC would only finance customers who hold credit scores higher than 700, General Motors has decided it would be prudent to reassure consumers that they are still in the business of securing loans and selling vehicles. Starting Friday, GM will launch a "Financing That Fits" campaign on a national level. Through advertising on television, newspaper, radio, and the Internet, GM will promote dealer financing with GMAC Financial Services and, for the first tim
The auto industry is in a bad sales slump, and while trucks and SUVs are being hurt particularly by fuel prices, the rest of the market has an even bigger problem. The tight credit market is making it much harder for dealers to sell you transportation, and the problem isn't relegated to just those with poor credit. Banks want higher cash-to-debt ratios, larger down payments, and then they're still charging higher interest rates on top of all that. GM's Mark LaNeve estimates his company is losing
Cerberus Capital Management shot off a nine-page letter to investors outlining ways that Chrysler could sink, while also pointing out that they believe Chrysler's on the track for success. Some of the possible failure scenarios include a nasty recession, an extreme slowdown in the car market, or a further credit downturn. Credit is already looking green around the gills, and the potential for a widespread domino effect that starts with an implosion of the teetering mortgage business would be cat
We have already reported that this year's Congress will pursue energy issues individually, and one of the most important issues up for debate is biofuels. Reps. Earl Pomeroy and Kenny Hulshof have introduced the Renewable Fuels and Energy Independence Promotion Act of 2007 which proposes to permanently extend tax breaks for ethanol and biodiesel production. The act moves to permanently extend the current 51 cent-per-gallon ethanol tax credit and a 10 cent-per-gallon small producer ethanol credit
Ford announced today that it plans to acquire a financing package worth a heady $18 billion. The extra money will ensure that Ford survives the next couple of years while Alan Mulally and company attempt to turn the automaker around and bring profits back to the Blue Oval. Automotive News reports that Ford will spend $8 billion in cash by year's end, leaving it with $20 billion in the bank, so to speak. The new financing package that should be completed by December 31 will then boost Ford's liqu
Facing the ignominy of huge dealer inventory and falling behind Toyota for 2nd place in July sales, Ford has decided to let anybody with a pulse finance one of its cars. Well, you do have to have some credit, but Ford is lowering the bar in this new incentive drive to include buyers with sub-prime credit ratings. By allowing customers the option of 0% financing for up to 72 months on every Ford, Lincoln, and Mercury (except the Ford GT and certain F-Series pickups), Ford hopes to jump start a st
Honda's two compressed natural gas vehicle, the 2005 and 2006 Civic GX, have met the Qualified Alternative Fuel Motor Vehicles (QAFMV) qualifications per the Internal Revenue Service (IRS). This acknowledges buyers are eligible to receive credit upon purchasing either alternate fuel vehicle.
From all appearances, Ford Motor Company feels it will need a well-baited hook in order to attract investors to its most recent issue of bonds. As such, the Blue Oval crew is offering $2.5 billion with rates as high as 10.75 percent - a record for the company. Analysts state that this is "an expensive way" for the company to hold onto its $21.2B in cash, even as its prepares for yet another round of downsizing. Ford itself confesses that selling credit is currently "a little