CUDL Credit Unions Break Into Top Five
A new report from Credit Union Direct Lending (CUDL) shows that the firm’s affiliated credit unions collectively represented the United States’ No. 5 source for auto loans in 2009.

ONTARIO, Calif. — A new report from Credit Union Direct Lending (CUDL) shows that the firm’s affiliated credit unions collectively represented the United States’ No. 5 source for auto loans in 2009. Last year marked the second straight year of market share gain for the lending solutions provider, which currently represents more than 780 credit unions across the country.
Andrea Salgado, market research analyst for CUDL, presented the findings in a recent Webcast. She tempered the news by noting that numbers from recent months paint a somewhat different picture.
“We gained a lot of share from the captive [lenders],” Salgado said. “For the last six months of 2009, we saw that captives were once again reclaiming market share.”
The prior year’s No. 1 lender was Toyota Financial Services, which dropped into the No. 2 slot in 2009, trading places with Chase Auto Finance. Chase and Wachovia Dealer Services, which moved up three places to No. 3, were the only lenders in the Top 10 to grow their portfolios in 2009. CUDL credit unions gained market share despite shrinking in volume by 8 percent — a slight decrease compared to lenders such as American Honda Finance and GMAC, who remained on the list despite decreasing loan volume by 40 percent and 33 percent, respectively.
Delinquencies and charge-offs continue to haunt all sources of auto financing as part of the fallout from the recent economic downturn.
“Indirect [loan] delinquencies have been trending upward in 2009 but, fortunately, they’re still below the high that we experienced in the fourth quarter of 2008,” Salgado said. “Charge-offs have been trending upward as well, finishing the fourth quarter of 2009 at 1.45 percent.”
Salgado did not speculate as to when those numbers will improve, but it is widely believed that restricted lending to less-than-prime credit tiers will help to reverse those trends in the near future. The report found that, in 2009, CUDL-affiliated credit unions sent the lion’s share of their approvals to the prime lending tier — 81.2 percent of new-vehicle originations and 72.1 percent of used-vehicle loans were for customers with FICO scores of 680 or higher.
More Auto Finance

Dealerships Are Paying the Price for Extended Car Loans
Growing negative-equity scenarios mean such lengthy terms should be addressed in a forward-looking way to make them work for the dealer and the consumer down the road.
Read More →
Trade-Ins in Negative Equity Reach New Heights
As such trade-ins rise in frequency, so do monthly loan payment amounts and interest rates, according to second-quarter data compiled by Edmunds.
Read More →
Auto Credit Plentiful
June numbers show lenders are readily granting access, including to risky borrowers, as consumers leverage themselves to take on high prices.
Read More →
Automotive Consumers Sink Further in Debt
Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.
Read More →
Porsche Financial Services Shifts Structure
After 36 years with Porsche, the Financial Services Chief Financial Officer Konrad Riedl is retiring, and the department is realigning its management structure.
Read More →
Tariffs Could Raise Insurance Premiums
As U.S. import tariffs affect repair costs, consumers might find it more affordable to replace a damaged vehicle, according to recent Insurify tariff analysis.
Read More →
Smaller Loans, Longer Terms
The youngest generation of car buyers is more likely to finance less expensive vehicles, more than half of generation Z consumers borrowing less than $25,000.
Read More →
New Cars a Tad More Affordable
May averages show that combined circumstances gave auto consumers slightly better buying power for the month, though average prices were up year-over-year.
Read More →
First-Quarter Sees Long Auto Loan Growth
Experian data show more consumers are tapping the method, along with refinancings, to afford buying. Meanwhile, subprime borrowers are getting more access.
Read More →
Mastering Credit Friction
In this video, Josh Krach explains how to turn credit friction into an advantage.
Read More →