Bard Luippold, CFA

Credit Acceptance: Cruising For A Bruising

If you have less than perfect credit and have bought a car in the last 20 years, you may have had a loan with Credit Acceptance Corporation (NASDAQ:CACC), one of the largest providers of sub-prime auto finance to independent auto dealerships in the nation.

Credit Acceptance, whose mission is to " change the lives of consumers who do not qualify for conventional automobile financing by helping them obtain quality transportation...," was formed in the early 1970s as a captive finance company for used car dealerships owned by Donald Foss, its current Chairman. In the 1980s, Credit Acceptance began making its financing programs available to non-affiliated dealerships and, since 2002, has more than quintupled its dealership distribution network...

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