Wells Fargo Financial CAR Becomes CAR Financial Services

DES MOINES, Iowa -- Atlanta-based CompuCredit Corp. recently purchased Wells Fargo Financial CAR, a subprime auto lender.

"The decisions that led to this transaction between WFFCAR and CompuCredit were carefully considered by both organizations," said Rick Potter, president of the newly formed CAR Financial Services and Wells Fargo Financial CAR. "As a small operating unit within Wells Fargo Financial, the WFFCAR division succeeded in an area where many consumer finance competitors had difficulty."

Due to its focus on the buy-here/pay-here industry, WFFCAR typically did not attract consumers who met the profile to purchase other products and services being marketed through Wells Fargo Financial, Potter said.

Going forward, Potter said the company's dealers and customers can expect consistent funding and quality dealer services to continue. "In the coming months, look for CAR Financial Services to evolve into a more focused service provider in the buy-here/pay-here industry," he said.

The new company will offer enhanced program and territory expansion. Currently, it does business in 38 states. Expansion is planned during 2005 to add five more states, including Alabama, Mississippi, Iowa, Nebraska and Wisconsin.

Additionally, the company plans to improve its technology and dealer reporting capabilities, as well as increase its participation in industry and state association events.