Business mix
- It advances money to automobile dealers in exchange for the right to service the underlying consumer loans; and buys the consumer loans from the dealers and keeps the amount collected from the consumers.
- The company is also involved in the business of reinsuring coverage under vehicle service contracts sold to consumers by dealers on vehicles financed by the company.
- It serves independent and franchised automobile dealers. The company was founded in 1972 and is headquartered in Southfield, Michigan.
Current key questions
- Can asset growth, client flows, fee rates, credit quality, or spread income support durable earnings in credit services?
- How sensitive are margins and returns to interest rates, market levels, funding costs, and regulation?
- Do capital allocation, risk controls, and balance-sheet quality improve long-term per-share value?
