Today, the CFPB released a blog post entitled, Examining the potential impact of high vehicle costs on Americans with deep subprime credit scores. The report concluded, “It seems likely that many deep subprime consumers have been priced out of the auto loan market, at least temporarily. Unfortunately, available data don’t allow us to explore what these consumers are doing instead of buying vehicles.”
The CFPB will continue to seek additional data resources to learn more about deep subprime auto lenders who do not report to credit bureaus.
It’s assuring to see Washington policymakers share the same concerns as AFSA regarding subprime consumers being potentially priced out of access to credit, in this case for vehicle financing. The CFPB’s post is also a timely and helpful reminder that there are policies, such as interest-rate caps on small dollar consumer loans, that also severely hinder access to credit for many subprime consumers in tough times like these, and which policymakers can ensure will not harm consumers.
The BBB Must be Better on Consumer Credit
Sep 27, 2022
The Better Business Bureau, International (BBB) has released a report on predatory payday and cash-advance lenders and debt collection scams. The report generally raises three issues. First, the BBB says its “scam tracker” identified … Read the rest
Don’t Be Fooled … All Lenders Are Not the Same
Sep 23, 2022
Senate Hearing Highlights Rate Cap Concerns
Sep 23, 2022
This week, CEOs from some of the largest U.S. banks provided testimony before the House Financial Services and Senate Banking Committees regarding several issues, including a proposal from Senator Jack Reed (D-RI) to expand the Military… Read the rest
Join us on October 6, 2022 at 1:00 p.m. ET for How to Delight Your Dealer and Fund Indirect Loans Faster, presented by Lightico.
Auto financial services companies are eager to fund deals faster and increase applications. Increasingly, technological… Read the rest
2022 Virtual Fixed Income Investors Summit
Sep 12, 2022
The AFSA Fixed Income Investor Summit returns virtually for 2022.
Join finance industry executives, debt issuers, and investors virtually on Wednesday, December 14 for a fast-paced, single-day conference featuring industry updates,… Read the rest
11th Circuit Agrees with AFSA on Hunstein
Sep 08, 2022
By a vote of 8 to 4, judges in the 11th Circuit Court of Appeals held that the plaintiff in Hunstein v. Preferred Collection and Management Servs., Inc., failed to allege a concrete harm that would provide Article III standing to pursue claims… Read the rest