The pandemic has had an unexpected impact on subprime borrowers’ performance, and the lending market has continually adjusted as a result. In today’s episode, Yieldstreet Private Business Credit Head of Underwriting Barbara Anderson and William Price, Executive Director at Hilco Global, take a deep dive into the potentially long-lasting impact of the pandemic on the consumer finance lending market.
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Key Takeaways:
[3:11] Defining subprime borrowers and assessing the key metrics of their portfolios.
[7:48] Performance differences between subprime secured and unsecured lending.
[10:36] The unexpected impact of the pandemic on subprime borrowers’ performance.
[14:51] Will the consumer cash high sustain or wear off in 2021?
[18:36] The long-lasting impact of the pandemic on store-based retailers.
[20:33] Current trends in store-based consumer finance companies.
[23:36] Fraud prevention in online lenders versus in-person lenders.
[23:57] Who enforces lender compliance and consistency with their own rules?
[26:17] The importance of strategically adjusting the online lenders’ requirements that generate volume.
Mentioned in This Episode:
