A Kaulkin Media Publication
EPP
January 7, 2009

Credit Acceptance Announces Extension and Modifications of Credit Agreement

June 15, 2007
 
Digg!
What's this?
Subprime auto financier Credit Acceptance Corporation (NasdaqGM: CACC) announced today that it has extended the maturity of its credit facility with a commercial bank syndicate from June 20, 2008 to June 20, 2009. The company also reduced the amount of the facility from $135 million to $75 million because the amount of borrowings available under this facility and Credit Acceptance's $325 million warehouse facility exceed the company's current borrowing needs.

Lonestar Turn-Key:

WINDEBT Collection System

The leader in Windows based collection software for Agency, DebtBuyers, DebtSellers and In-House operations.

Click here to learn more...



The interest rate on borrowings under the facility has been reduced from the prime rate or 1.30% over the Eurocurrency rate, at the company's option to the prime rate minus 1.65% or 1.25% over the Eurocurrency rate, at the company's option. In addition, the borrowing base limitation was modified to increase the advance rate from 75% to 80% of the net book value of dealer loans and from 75% to 80% of the net book value of consumer loans purchased by the company. The agreement continues to be secured by a lien on most of the company's assets. As of June 13, 2007 the company had $59.7 million outstanding under the agreement.

Be the First To Comment

(Please read our comments policy first.)

From:
Show my identity with comment

Leave this field empty
Interested in more stories like this?
Tell us what topics you're interested in and we'll keep you posted. Enter your email address below.
Online Resources
Interrior Concepts
DACKS
PSC Info.
  • Acxiom
  • eBureau
  • Interactive Data
  • TransUnion
  • Castel