Wells Fargo & Co is scaling back and remoulding its auto lending business in response to growing stress in the market, as well as a bank-wide push for more centralised risk controls. Wells, which was the No. 2 US provider of auto loans less than a year ago, has already cut quarterly originations by nearly 30 per cent over the nine months leading into March 31, according to a May 11 company presentation. It has also begun consolidating the collections operation in a move that people familiar with the business say could eliminate hundreds of jobs after a new head of auto finance took ...
As market stress rises, Wells Fargo trims auto loans to overhaul risks
It has already cut quarterly originations by nearly 30% over 9 months leading to March 31