Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

CU System
NCUF offers free nonprime auto loan toolkit
MADISON, Wis. (10/24/11)--Credit unions trying to bolster their auto-loan portfolios now can use a free Non-Prime Auto Loan Toolkit from the National Credit Union Foundation's (NCUF) REAL Solutions program.

The toolkit provides underwriting guidelines, techniques to mitigate risks, pricing guides, credit union examples and a loan portfolio management guide.

Many households are struggling financially and a dependable automobile can be the key to having a job or a better-paying job. The households may look at the corner buy-here-pay-here auto lot as their only option and find themselves caught in a costly loan with an unreliable car, NCUF said.

"There is tremendous opportunity for credit unions to reach out to this market that has been mis-served by predatory and non-traditional lenders," wrote Nancy Pierce in the toolkit's introduction. "The estimated size of the non-prime auto market ranges from $100 billion to $200 billion. Yet, as credit unions put more non-prime borrowers into automobiles, they need to do so prudently and with clear understanding of the increased risks they are undertaking."

"Prudent pricing for non-prime auto loans can boost a credit union's bottom line," Pierce noted. "It also simultaneously fulfills a social and economic need by provide consumers with the economic mobility that comes with the mobility of affordable, reliable wheels."

The free toolkit is available to credit unions at realsolutions.coop. It also suggests Enterprise Car Sales as one option for a quality car at a good value.
Other Resources

RSS





print
News Now LiveWire
.@MECreditUnions announces winner of @YoungFreeME #SoundOff contest. @Sassquatch_Band will play Old Port Festival in June @PDD_Downtown
9 hours ago
House Financial Services Com. to hold March 3 hearing to receive the semi-annual report of @CFPB Director Richard Cordray.
9 hours ago
Rep. Jeff Miller (R-Fla.) re-introduced bill to ease veterans' access to loans for #smallbusiness purposes from a #creditunion (HR 1133)
11 hours ago
You can get your subscription to @cuna 's free, daily, online #creditunion #news service News Now here: http://t.co/YtUejEmAYP
11 hours ago
CCUA hosts @TheNASCUS college for #creditunion directors http://t.co/CftpSXDKWx
14 hours ago