Pat Doran is president of NationsBank's Dealer Fi-nancial Services Group, which oversees some $17.5 billion in retail and wholesale auto loans. He spoke to Staff Reporter Jim Henry before NationsBank agreed to merge into BankAmerica to create the biggest bank lender in auto finance.
Does NationsBank have designs on the subprime market?
Subprime is a desirable product, one that lenders are really beginning to count on to add some sales. How we deliver that is something we're looking at right now. Given the travails of the industry, we are trying to figure out what didn't work. We are probably going to try some alliances with established subprime companies.
Bankers have been schooled forever: 'You don't buy bad credit.' So, I don't believe we can take a traditional bank and make them a subprime lender. We are looking for somebody who really understands that business.