Fourth-quarter earnings season kicked off with several banks reporting mixed results in auto originations as some tightened credit and others picked up auto lending activity.

Stricter federal tax credit requirements for electric vehicles have prompted price cuts, incentives, and dealer operation changes. 

Lower interest rates and low unemployment also drive economists’ prediction of a soft landing in 2024. 

Mark Chandler, vice president for business development at Credit Union Leasing of America, lives and breathes the auto industry and leads his team with an infectious positive energy to create a productive work environment. 

Affordability and profitability were top of mind for auto lenders in 2023, and 2024 is set to be a year of cautious growth as rates come down. 

Elevated interest rates and inflationary pressures have prompted auto lenders to tighten credit, leading credit unions to step back and create opportunities for other financiers.  

Incentives and lower monthly payments are helping drive leasing as vehicle sales improved in November.  

More than 27% of prime and superprime consumers chose to lease their vehicles in Q3, up from about 21% a year earlier, driven by lower payments compared to financed purchases, according to Experian.  Deals are also helping prompt leasing, with several OEMs offering low-rate and cash incentives on leases. 

When Anthony Capizzano, senior vice president, head of consumer lending at Axos Bank, returned from the U.S. Marine Corps in 1997, he was interested in two jobs: selling cars and selling coffins. The auto industry drew him in, and he has yet to pull away. In this podcast episode, Capizzano speaks with AFN Senior Associate Editor Riley Wolfbauer about how he aligns his team, the lessons he has learned during his career and how he carries himself as a leader. 

Delinquencies and net losses in the prime and subprime auto asset-backed securities market continued to increase in September, while captive market share of total auto financing reached its highest level in the third quarter since Q1 2018. In this episode of the “Weekly Wrap,” Deputy Editor Amanda Harris and Senior Associate Editor Riley Wolfbauer discuss the top stories for the week ended Dec. 1, and what to expect in the week ahead. 

The Consumer Financial Protection Bureau continued to focus on the sale of ancillary products to consumers, fining Toyota Motor Credit Corp. $60 million for violations related to ancillary products and bad data reporting to credit agencies. In this episode of the “Weekly Wrap,” Deputy Editor Amanda Harris and Senior Associate Editor Riley Wolfbauer discuss the top stories for the week ended Nov. 24, and what to expect in the week ahead.  

Higher interest rates are just one challenge facing consumers and affecting their ability to make their car payments.  

Auto lenders are tightening credit and the whole industry is keeping a close eye on delinquencies and rising defaults.