More From Asset Securitization Report
CompuCredit Cites Suits, Encore Dispute
CompuCredit Corp. said the cost of defending itself against federal lawsuits over its marketing practices and a related dispute with a debt buyer helped its second-quarter loss quadruple from a year earlier. However, the Atlanta marketer of subprime credit cards also reported a decline in delinquencies. Chargeoffs surged, but it said it expects them to […]
CompuCredit unit sells charged off credit card portfolio
CompuCredit Corp. unit Jefferson Capital sold a $2.9 billion portfolio of charged-off consumer credit card debt to Encore Capital Group, the companies announced. Encore paid $142.8 million for the portfolio, as well as the right to purchase an additional $3.25 billion in face value charged-off credit card receivables from Jefferson over the next five years. […]
CompuCredit buys auto lending unit
CompuCredit Corp. announced an agreement to purchase an auto lending and servicing unit of Wells Fargo Financial, the consumer finance subsidiary of Wells Fargo & Co., and hire substantially all of its employees. The Consumer Auto Receivables unit had approximately $133 million in assets. It operates in 40 states through its 12 branches. The two parties did not disclose […]
CompuCredit to acquire subprime lender
In addition to increasing its own direct originations of subprime credit cards, CompuCredit Corp. announced last week that it will acquire a lender specializing in the subprime sphere for $106 million, a deal that should close late this quarter, according to Chief Executive Officer David Hanna. While the company has roughly $140 million in available […]
CompuCredit to purchase subprime lender
In addition to increasing its own direct originations of subprime credit cards, CompuCredit Corp. said today it has agreed to acquire a lender specializing in the subprime sphere for $106 million, a deal that should close late this quarter. CompuCredit will use equal parts cash and debt to finance the acquisition. Most of the company’s […]