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Wednesday, 28 February 2018 13:14

XLerate Auctions Aid Their Communities

XLerate Group Auctions’ Charleston Auto Auction and EPI El Paso Independent Auto Auction, along with their customers, are raising funds to help community outreach programs in both Charleston and El Paso.Throughout February, Charleston Auto Auction is raising money for East Cooper Community Outreach (ECCO).  ECCO provides a range of procedures and services for thousands of uninsured adults each year, all at no cost to their clients.In Texas, XLerate’s EPI El Paso is raising funds for Compadres Therapy, Inc., a non-profit corporation that teams with health and educational professionals to promote the educational and healing effect of the human/animal bond. Services are provided to persons in the community with special needs - physically, intellectually, and emotionally challenged - who are economically disadvantaged.The services that Charleston’s funds will support include comprehensive oral exams and screenings, x-rays, extractions, cleanings, fillings and emergency extractions.  ECCO was founded as an emergency relief effort after the devastation from Hurricane Hugo in 1989.  Its program has since grown into a permanent resource for the community in need.
Published in Breaking News
Wednesday, 28 February 2018 13:14

CFPB Finds Little Benefit to Removing Records

Removal of public records has little effect on consumers’ credit scores, according to a recent report by the Consumer Financial Protection Bureau.The three nationwide credit reporting companies - Equifax, Experian, and TransUnion - entered into a settlement with over 30 state attorneys general. This settlement, called the National Consumer Assistance Plan (NCAP), required the companies to increase the accuracy of credit reports and to make it easier for consumers to correct errors on their reports. Part of this settlement required the three nationwide credit reporting companies to create minimum standards for personally identifiable information and reporting frequency for civil public records, including bankruptcies, civil judgments and tax liens.  Starting July 1, 2017, this aspect of the settlement required all civil public records to have a name, address, and a Social Security number or date of birth before appearing on credit records from the three nationwide credit reporting companies. The settlement also required this information to be refreshed by the credit reporting companies at least every 90 days. When the NCAP was implemented, all civil judgments and about half of the tax liens on consumer credit records were removed. In contrast, the number of reported bankruptcies remained virtually unchanged.In June 2017, just before the NCAP’s restrictions were implemented, 6 percent of consumers had a civil judgment or tax lien. The NCAP appears to have removed the public records for about 80 percent of these consumers. After the NCAP was implemented, 1.4 percent of consumers had a tax lien on their credit report and none had civil judgments.About 4 percent of consumers with civil judgments or tax liens on their credit record in June (0.24 percent of consumers overall) experienced a large enough increase in their credit score as the result of the NCAP to move into a higher credit score band, meaning, for example, that their credit score moved from being subprime to near prime or from near prime to prime.
Published in Breaking News
The former controller of a New York BMW dealership faces 20 years in prison for embezzling from the store.Vanessa Vence-Small pleaded guilty to one count of wire fraud arising from an embezzlement scheme.According to court documents and statements made in court, Vence-Small was the controller of Felix F. Callari Inc., doing business as Continental BMW of Darien.  From October 2014 to June 2017, Vence-Small made 65 unauthorized electronic fund transfers, totaling $904,659.29, from the dealership’s bank account to her personal American Express account.  Vence-Small also issued and signed 28 checks drawn on the dealership’s bank account, in the total amount of $207,777.78, to pay various third parties, including credit card companies, contractors who performed work at her residence, and a different dealership from which she purchased a car.  She also incurred on company accounts an additional $31,452.08 in unauthorized credit card charges and reimbursements.Vence-Small’s sentencing is scheduled for May 24, at which time she faces a maximum term of imprisonment of 20 years, a fine of up to approximately $2.3 million, and an order of full restitution.Vence-Small is released on a $100,000 bond pending sentencing.
Published in Latest News
Monday, 26 February 2018 23:13

New Car Sales Set to Drop

New-vehicle sales are expected to fall 4 percent year-over-year to a total of 1.275 million units in February, according to Cox Automotive.The SAAR for February is estimated to be 16.7 million, down from 17.1 million in January and from 17.3 million in February 2017. Fleet sales are generally higher in February and as a result retail sales are expected to account for 81 percent of volume. There were 24 selling days in February 2018, the same number as in February 2017.
Published in Dealers
Monday, 26 February 2018 01:01

ADESA Names Top Execs

ADESA announced that Paul Lips will take on the newly created position of chief commercial officer for ADESA and Srisu Subrahmanyam will join the ADESA senior management team as chief operating officer. In his new role, Lips will be responsible for simplifying the ADESA customer experience and coordinating business development efforts with the marketing, sales and client relationship teams. Lips has held a variety of management roles since joining ADESA in 1996, including corporate controller for ADESA’s finance department, chief financial officer, vice president of investor relations and planning, and senior vice president of operations. Lips served as executive vice president of operations and finance before taking the previous role of chief operating officer in 2016.Taking over as ADESA chief operating officer, Subrahmanyam will lead the strategic growth and development of the U.S. auction operations group. He previously held the position of senior vice president of business transformation for parent company KAR Auction Services and was responsible for overseeing organizational optimization.Subrahmanyam and Lips will report to John Hammer, newly named president of ADESA.
Published in Auctions
Monday, 26 February 2018 01:01

NIADA Signs Data Analytics Firm

The National Independent Automobile Dealers Association has contracted with Kenneth Shilson and Subprime Analytics to provide analytical services for the association's 16,000 members.Subprime Analytics is a Houston-based company that analyzes subprime automotive portfolio performance using data-mining technology. It provides automotive benchmarks that measure industry performance and trends.For the past 19 years, Shilson has served as president and founder of the National Alliance of Buy Here-Pay Here Dealers, which was recently acquired by NIADA. Shilson will continue to assist both organizations and will participate in NIADA training and conferences planned for 2018 and beyond.
Published in Tech News
Friday, 23 February 2018 02:39

TPC Adds Auction Client

TPC Management Co. has added FastLane Auto Exchange to its roster of auto auction clients.  FastLane Auto Exchange is located in Mount Morris, Mich., just north of Flint.  It has been in operation for more than 40 years, focused on dealer-only consignment.  The facility was recently purchased by a team led by Greg Price, former member of the executive team at Flint Auto Auction (now ADESA Flint).  Price brings over two decades of experience in auction management to FastLane, and has begun a major expansion of FastLane’s operations, affecting both physical plant and technology.A new state-of-the-art reconditioning and mechanical facility is currently under construction at FastLane’s 60-plus acre site.  In addition, two additional auction lanes and more administrative offices will open in March, for a total of eight lanes of auction selling weekly.
Published in Auctions
Thursday, 22 February 2018 03:56

America’s Car-Mart Reports Higher Revenues

America’s Car-Mart Inc. reported net income of $2.8 million for the quarter ended Jan. 31.The buy-here, pay-here chain saw revenues of $139 million compared to $137 million for the prior year quarter.Retail unit sales decreased to 10,866 from 11,013 for the prior year quarter with increased productivity at 25.3 retail units sold per store per month, up from 25 for the prior year quarter.Average retail sales price increased to $10,629.Gross profit margin percentage increased to 40.8 percent from 40.3 percent for the prior year quarter.Collections as a percentage of average finance receivables of 12.4 percent compared to 12.9 percent for the prior year quarter.  The weighted average contract term increased to 31.9 months from 30.9.Net charge-offs as a percent of average finance receivables were 7.8 percent, up from 6.6 percent for prior year quarter.Accounts over 30 days past due decreased to 4.7 percent from 5 percent at Jan. 31, 2016.Average percentage of finance receivables current were 79.5 percent compared to 81.4 percent at Jan. 31, 2016.Provision for credit losses rose to 31 percent of sales vs. 26.9 percent for prior year quarter.  Selling, general and administrative expenses fell to 18.7 percent of sales vs. 19.4 percent for prior year quarter.Active accounts base was approximately 67,300, an increase of approximately 2,300 from April 30, 2016.
Published in Finance
Wednesday, 21 February 2018 14:08

KAR Reports Improved Results

KAR Auction Services Inc. reported revenue of $890.4 million in the fourth quarter. That was up from $813.7 million in the fourth quarter of 2016. Net income for the fourth quarter increased to $172.8 million from $45.5 million in the fourth quarter of 2016. Net income was favorably impacted by the enactment of the Tax Cuts and Jobs Act of 2017 in the fourth quarter of 2017. Adjusted EBITDA for the quarter was $194.6 million, as compared with $176.5 million for the fourth quarter of 2016.
Published in Auctions
Tuesday, 20 February 2018 02:22

United Auto Credit Honors Auctions

United Auto Credit recently honored its 2017 top auction of the year, Dealers Auto Auction of the Southwest, during a ceremony at the Phoenix auction.United Auto Credit utilizes approximately 32 auction locations throughout the United States.United Auto Credit also recognized the following auctions as regional winners:Lone Star Auto AuctionCarolina Auto AuctionNorthBay Auto AuctionMissouri Auto Auction
Published in Auctions
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Incoming NAAA President Praises Flexibility of Auction Industry

Incoming NAAA President Praises Flexibility of Auction Industry

Jerry Hinton, general manager of ADESA Portland, is the incoming president of the National Auto Auction Association. He has been married to Dawn for 33 years. They have two children,...

Copart Launches Annual Contest

Copart Launches Annual Contest

Copart Inc. announced the launch of its third annual Copart Rebuild Challenge. The Annual Copart Rebuild Challenge is a contest designed for car enthusiasts and auto rebuilders to show how...