MCCLEAN, Va. — Leading subprime lender Capital One has released an encouraging first quarter report, noting profits across all the firm's national lending programs. The company's auto finance unit reported earnings of $71.4 million dollars in 1Q 2009.

The firm bought $1.46 billion in auto finance contracts for 1.6 million customers in the quarter, a marked decrease from $2.44 billion over 1.7 million accounts year-over-year but only a slight drop-off from the previous quarter, in which the company originated just over $1.47 billion in auto finance loans.

As a result of seasonal performance, improving used-car values and "solid" returns from new loans, Capital One Auto Finance's delinquency and charge-off rates both enjoyed a decline in 1Q 2009. The company's net charge-off rate declined from 5.67 percent to 4.88 percent from the prior quarter, while its 30-day delinquency rate dropped 9.91 percent to 7.52 percent in the same period.