Captive Finance Companies


BLOG: Different challenges, but these 2 finance companies move forward

11:45 am U.S. ET | Oct. 7, 2015

GM Financial is rising strongly. And Ally Financial is still standing despite its shattered ties to General Motors.... Read More »

GM counting on big profits from parts and accessories, GM Financial

2:24 pm U.S. ET | Oct. 1, 2015

General Motors expects to pad its bottom line in coming years from substantial growth in its captive finance arm and its parts and accessories business.... Read More »

Captives, independents see solid gains in auto loan, lease accounts

1:00 pm U.S. ET | Sept. 23, 2015

The number of loan and lease accounts is growing faster at auto finance companies than it is at banks, helped by finance companies' lower interest rates and higher subprime lending, Equifax says.... Read More »


Captives’ role underappreciated, Moody’s analyst says

11:30 am U.S. ET | Sept. 9, 2015

Jason Grohotolski, a senior analyst for Moody’s Analytics, discusses the critical role of captive finance companies in today’s auto-lending market in a wide-ranging Q&A.... Read More »

Lincoln's captive launches free services for consumers

11:45 am U.S. ET | Sept. 2, 2015

Lincoln's captive finance arm launched a free credit monitoring and identity-theft protection package for all U.S. consumers who finance or lease with the lender. Lincoln Automotive Financial Services introduced the package on July 31.... Read More »

Opel will launch online retail banking in Germany

Sept. 2, 2015 12:24 CET

Opel will push into online retail banking in Germany and use consumer deposits to broaden the base of its financing operation.... Read More »

Dealers urged to polish fair lending practices as CFPB rule looms

12:15 pm U.S. ET | Aug. 26, 2015

Dealers, learn your lenders' fair lending policies and polish your own. That's legal experts' advice to retailers looking to prepare for the Consumer Financial Protection Bureau's larger participant rule, which takes effect Aug. 31.... Read More »

Ally's second-quarter auto lending flat despite GM pullback

11:45 am U.S. ET | July 29, 2015

Ally Financial's second-quarter auto lending originations declined just 1 percent from a year earlier to $10.8 billion, despite a sharp drop in lease originations for GM vehicles. For the first time, GM accounted for less than half of Ally's auto originations.... Read More »

Sonic rethinks the appeal of captive finance arm

11:30 am U.S. ET | July 22, 2015

Wary of regulators, Sonic Automotive is slowing its plans to establish a captive finance arm. The Consumer Financial Protection Bureau’s investigations and citations of automakers’ finance arms have given Sonic pause.... Read More »

AutoNation CEO endorses CFPB, Honda Finance pact

12:01 am U.S. ET | July 20, 2015

AutoNation CEO Mike Jackson has endorsed the settlement between the Consumer Financial Protection Bureau and American Honda Finance for preventing discrimination in auto finance, calling the agreement a “workable template” that other retailers and lenders should follow.... Read More »

Toyota Financial CEO, CFO take on added duties

10:49 am U.S. ET | July 10, 2015

Toyota Financial announced globally expanded roles for two of its top executives, Mike Groff, president and CEO, and Chris Ballinger, senior vice president and CFO.... Read More »


What Tuttle-Click stores look for in lenders

11:00 am U.S. ET | July 1, 2015

Bill Paschen, finance director at Tuttle-Click Automotive Group, says the ideal lender offers aggressive programs to help sell light vehicles, help dealers make money on the back end, and is available by phone when needed. But he says most lenders still don't fully understand the importance dealers place on making money on finance and insurance products.... Read More »

CFPB widens auto lending oversight to non-bank financiers

4:05 pm U.S. ET | June 10, 2015

The top U.S. consumer protection regulator is expanding its oversight to include large non-bank auto financing companies.... Read More »

Porsche captive adds branded F&I products

12:00 pm U.S. ET | April 29, 2015

Porsche, Bentley and Lamborghini dealers in the U.S. are getting a new menu of F&I products to sell. Porsche Financial Services North America is introducing extended service contracts and other products bearing the Porsche name, plus F&I products for the Bentley and Lamborghini brands.... Read More »

Most lenders cite subprime restraint

12:15 pm U.S. ET | April 29, 2015

GM Financial and Capital One are joining other auto lenders in citing tougher competition in subprime lending and voicing caution over the increase in auto loans to consumers with lower credit scores. Ally Financial, one of the nation's largest auto lenders, is taking the opposite approach, and pursuing more subprime business.... Read More »

GM Financial Q1 net rises as lease volume skyrockets

2:17 pm U.S. ET | April 23, 2015

Captive finance company GM Financial had a giant increase in lease volume in the first quarter, as parent company GM switched to GM Financial as its exclusive preferred lender for Buick, Cadillac, Chevrolet and GMC subsidized leases.... Read More »

Volvo's young captive explores new territory

12:01 am U.S. ET | March 25, 2015

Volvo Car Financial Services U.S. is a young captive finance company, in business only since late 2012. But its leadership is seasoned.... Read More »

Ally adds 7-year loans, as debate over risk heats up

12:01 am U.S. ET | March 11, 2015

The slow march toward 84-month loans is adding fuel to the debate over whether auto lending is getting too risky, possibly threatening the economy the way subprime mortgages did during the run-up to the 2008-09 financial crisis. Auto buyers increasingly are opting to spread their payments over longer terms so they can finance higher amounts -- and thus buy pricier vehicles -- and still keep monthly payments low.... Read More »

GM Financial will double earnings by 2018, GM says

11:45 am U.S. ET | March 11, 2015

GM expects earnings from GM Financial “to more than double by 2018,” GM President Dan Ammann told investors this week. GM wants pretax earnings for GM Financial to rise from $815 million in 2014 to more than $1.6 billion in 2018. The automaker also wants to increase GM Financial’s earning assets -- outstanding consumer and commercial loans, plus leases -- from $40.8 billion as of Dec. 31, 2014, to more than $82 billion at the end of 2018.... Read More »

GM tells Ally that GM Financial will get all of Chevy's subsidized leases

6:30 pm U.S. ET | Feb. 27, 2015

General Motors has notified Ally Financial that it will steer all of its lease subsidies for the Chevrolet brand to captive finance company GM Financial, instead of sharing them among Ally, GM Financial, and to a lesser extent, U.S. Bank.... Read More »


BLOG: Volvo captive finance's plan to help spur sales of Volvo's XC90

3:30 pm U.S. ET | Feb. 19, 2015

The redesigned 2016 Volvo XC90 is “the big” launch facing Volvo's captive finance company. Just ask Dan Romagnoli. He is the man responsible for making sure dealers get enough financing support to sell the heck out of the crossover when it goes on sale in May.... Read More »


BLOG: GM Financial-Chevy lease exclusivity seems likely

11:15 am U.S. ET | Feb. 18, 2015

There wasn't much doubt, but General Motors disclosed for the first time in an SEC filing that it is considering plans to throw all Chevrolet lease incentives to GM Financial instead of sharing them among GM Financial, Ally Financial and U.S. Bank.... Read More »

GM Financial, Santander rev move to prime

11:30 am U.S. ET | Feb. 11, 2015

GM Financial and Santander Consumer USA, two traditional subprime specialists, are accelerating strategic moves into prime-risk loans and leases in 2015. GM Financial also more than tripled its share of U.S. lease originations for parent GM, to 47 percent of GM leases in the fourth quarter from 15 percent a year earlier.... Read More »

GM ramps up leasing business with captive financial unit

3:16 pm U.S. ET | Feb. 4, 2015

GM Financial more than tripled its share of parent General Motors' US lease originations in the fourth quarter. And it's poised to gain even more as it becomes the exclusive source of leases for the Buick-GMC and Cadillac brands, beginning with Buick-GMC this week.... Read More »

U.S. prosecutors, pursuing more '08 crisis cases, eye auto loans

12:12 pm U.S. ET | Feb. 4, 2015

The U.S. Department of Justice says it is still pursuing cases tied to the height of the financial crisis in 2008 and using lessons learned from those probes to examine new areas like subprime car loans. Federal lawyers are using the investigative techniques and contacts from mortgage securities probes to confront the next wave of potential financial fraud.... Read More »

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