GMAC to Pull Back on Riskier Loans
The finance company said it would restrict car loans to U.S. consumers with credit of 700 and above.
Citing tough economic conditions, GMAC said on Oct. 13 it would pull back from riskier and longer-term auto lending in response to tight credit conditions that have limited its access to funds.
GMAC, the finance company affiliated with General Motors
Corp, said it would be more conservative in extending car loans, restricting
them to
U.S. consumers with credit scores of 700 and above, and to shorter terms.
The company said it expects the restrictions to remain in place until credit markets stabilize.
GMAC also said it has increased the rate it charges car dealers for providing standard auto financing by 75 basis points.
GMAC’s wholesale auto finance business is not affected by the changes.
Detroit-based GMAC lost $2.48 billion in the April-June period, hurt by losses at its mortgage lending unit ResCap and write-downs on the value of leases for sport/utility vehicles.
U.S. auto sales for September sank to a 15-year low. Industry executives and auto analysts have said they are not seeing any rebound in U.S. auto sales so far in October.
More Small Fleet
Tips for Driving Safely on Halloween Night
This video features a reminder from the Connecticut Department of Transportation (DOT) and the Connecticut Police Chiefs Association, urging drivers to prioritize safety this Halloween.
Read More →
Simple Tire Checks That Help Keep Your Business Fleet Moving
A survey found that nearly one in every 10 passenger vehicles has at least one bald tire. What's more, 27% -- more than one in four -- of vehicles are driven with one or more severely under-inflated tires.
Read More →
Developing Budget-Friendly Driver Safety Programs
From driver training and safety meetings to one-on-one coaching and incentive programs, several small fleets share how they have developed a safety culture with their drivers using low- to no-cost resources.
Read More →
Boosting Last-Mile Fleet Uptime, Safety, and Value with AI Vehicle Inspections
AI-powered inspections are transforming last-mile fleets by replacing manual checks with highly accurate automated scans that detect defects in seconds. By giving fleet operations visibility into the daily condition of their vehicles, you can identify trends over the vehicle’s lifecycle that enable improved procurement decisions, route management, driver training and accountability.
Read More →
Five Ways Seat Belts Help Prevent Injuries
There are five ways seat belts protect occupants from injuries, according to the Tennessee Department of Safety and Homeland Security.
Read More →
Basic Tracking vs Next Generation Fleet Technology
Fleet software is getting more sophisticated and effective than ever, tying big data models together to transform maintenance, safety, and the value of your existing tech stack. Fleet technology upgrades are undoubtedly an investment, but updated technology can offer a much higher return. Read how upgrading your fleet technology can increase the return on your investment.
Read More →
It’s here: The 2026 Fleet Technology Trends Report
What does AI mean for fleets? Get the answer — and learn other top tech trends.
Read More →
Small Fleets, Big Impact: How Independent Drivers Power Wreaths Across America
Check out how small fleets and independent drivers power Wreaths Across America each December and why their impact matters more than ever.
Read More →
VMS Survey Finds 65% of Small Fleet Managers Run Operations Alone
A new VMS survey shows small fleet managers are stretched thin, with most handling operations solo and eager to adopt digital tools for relief.
Read More →