Credit Acceptance Corporation (NASDAQ: CACC), a provider of financing solutions for automobile dealers, has extended its revolving secured warehouse facility and asset-backed financing. The warehouse facility, valued at $500 million, has been extended from September 20, 2027, to September 15, 2028. The borrowing interest rate has been decreased from the Secured Overnight Financing Rate (SOFR) plus 185 basis points to SOFR plus 175 basis points. As of the announcement date, $180 million was outstanding under the facility.
The company also extended the revolving period for its Term ABS 2019-2 ($500 million asset-backed non-recourse secured financing) from September 15, 2026, to September 15, 2028. The interest rate for this financing has been increased from 5.43% to 5.83%. There were no other material changes to either facility. Credit Acceptance operates through a nationwide network of automobile dealers and provides financing solutions to sell vehicles to consumers with various credit histories. The company reports to three national credit reporting agencies.
