Finance & Insurance

Sym-Tech announces partnership to deliver Audi, Volkswagen branded F&I services


Sym-Tech Dealer Services announced Tuesday a nationwide partnership with Audi Finance and Volkswagen Finance to deliver both the Audi After Care and Volkswagen Protection Plus branded suite of F&I products and services. The deal will be effective Nov. 1. 

Sym-Tech said that it has an experienced team of sales, technology, operations, dealer communications, claims and administration support to ensure a seamless transition for Audi and Volkswagen dealers in the fall.

"We're extremely pleased to be entering into this partnership with Audi Finance and Volkswagen Finance and supporting them in the evolution of Audi After Care and Volkswagen Protection Plus branded products," Sym-Tech chief executive officer Brad Wells said in a news release.

"In addition to a full suite of F&I products, we bring our industry proven F&I training, a dedicated in-store development team and our proprietary F&I technology solution, dave. We look forward to working with the Audi and Volkswagen Dealer network across Canada."

Axis to acquire Trend Financial


Axis Auto Finance has signed a share purchase agreement to buy subprime finance company Trend Financial, the company announced late Tuesday afternoon.

It’s a move that doubles the Axis portfolio — putting its net finance assets to roughly $110 million — and brings its “largest director competitor” into the fold, says the company’s president.

Additionally, Axis named Todd Hudson as its chief executive officer, a move that is effective March 15 and splits the president/CEO role at the finance company.

Hudson comes to Axis from ECN Capital, where he was chief operating officer.

Axis founder Ilja Troitschanski remains president.

Details on purchase

The deal would be worth approximately $29.3 million. 

The purchase would be funded through a private placement offering of approximately $6.5 million in subscription receipts and $17.4 million in extendible convertible debentures.

The purchase price would include approximately $23.9 million in cash and the issuance 6.95 million common shares and 6.6 million common share purchase warrants.

“This is a transformational event in the development of Axis. Not only are we doubling our portfolio, but we are also acquiring our largest direct competitor,” Troitschanski said in a news release.

“Together with the recently completed acquisition of Cars on Credit, Axis has firmly established itself as a dominant force in the Canadian subprime automotive finance market,” he added. 

Hudson named CEO

In addition to his time with ECN, Hudson —  the new CEO — worked for Element Financial Corp., where he was executive vice president of originations, as well as Hathway Financial, where he was president and founder.

Hudson also worked for Newcourt and CIT Group prior to founding Hathway in 2003.

“I am excited to join the Axis team and feel that I can make meaningful contributions to the Company's development,” Hudson said.

 “Next to the substantial organic growth potential, there is a clearly identified opportunity for a growth-by-acquisition strategy in the Canadian non-prime finance market, something our team did very successfully at Element Financial and ECN Capital,” Hudson said.

Axis said in a news release that dividing the president and CEO posts affords the company “greater depth of management to continue its rapid organic growth and effectively evaluate and integrate potential acquisition targets.”

Troitschanski said: “We are delighted to welcome Mr. Hudson to our team. His decades of experience in alternative finance, specifically with respect to execution and integration of M&A transactions, will be a great boost to Axis’ acquisition and integration activities.”


TransUnion Canada sees credit market functioning ‘correctly’


TransUnion Canada director of research and industry analysis Matt Fabian used the words credit, consumer and correctly within the same thought to describe the overall picture painted by TransUnion’s latest Canada Industry Insights Report

Fueled by younger Canadians and overall confidence in the nation’s economy, Fabian and the TransUnion team spotted an array of positive signs in the fourth-quarter data, including how auto finance performed as dealerships nationwide enjoyed record sales.

“We’re still seeing a consistency in terms from an overall debt perspective. Consumer balances continue to rise. To us, seems in line with the economic expansion and the fundamentals we saw at the end of 2017. There was a build in consumer confidence toward taking on that additional debt,” said Fabian, who is among the experts scheduled to share presentations during the Auto Remarketing Canada Conference that begins on March 27.

“Additionally, overall we’ve seen delinquency rates remain at low levels. In fact, year-over-year they’ve dropped,” he continued during a phone conversation ahead of Thursday’s report release.

“The overall consumer picture for us is that the market is still working fundamentally correctly as it should. And consumers in Canada, despite having an increases in their balances, are still being pretty cautious and being good at managing that overall debt,” Fabian went on to say.

As Canadian consumer debt continues to rise, TransUnion found that millennial and Gen Z borrowers are playing leading roles in this growth.

Average consumer non-mortgage debt balances rose 4.3 percent between Q4 2016 and Q4 2017 to close the year at $29,312. However, both millennials (born 1980 to 1994) and Gen Z (born 1995 or later) consumers experienced significantly higher yearly percentage increases of 12.6 percent and 22.9 percent, respectively.

“As consumer debt continues to increase, it’s clear that the youngest generations are playing a critical role in the consumer credit market,” Fabian said. “Millennials are taking on additional balances as they reach significant life events that put pressure on their overall wallet — many of them are now supporting children, purchasing homes and acquiring additional vehicles.

“These costs may be financed through additional borrowing, so this growth in debt is not surprising,” he added.

TransUnion also found that the high rate of balance growth among Gen Z, albeit from a much lower base level, is also expected. These younger consumers are entering the workforce for the first time and starting households, milestones which also increase demand for credit.

“It’s interesting that Gen Z is growing at a fast pace, but they also are the only generation that has shown increased delinquency rates on debt over the past year,” Fabian said. “It could be they’re inexperienced in managing their credit obligations and demonstrating less discipline in making regular payments, which we tend to see reflected in their risk distribution, which is typically non-prime compared to older generations.

“It will be important for these emerging consumers to learn the importance of maintaining their credit health,” he continued. “We have seen that credit education tools provided by financial institutions such as credit monitoring and score simulators can be very effective in building positive credit behaviors, reducing delinquency rates and increasing credit scores.”

TransUnion’s report determined that overall consumer delinquency rates for commitments 90 days or more past due declined 23 basis points during 2017 to finish at 5.30 percent. While Gen Z experienced a 39-basis point increase in serious delinquency rates, millennials saw a 69-basis point drop in delinquencies during 2017.

Comparing Consumer Credit Performance by Generation


Q4 2017 Avg. Consumer Non-Mortgage Debt Balance

Y-o-Y Balance growth change (%)

Q4 2017 Avg. Consumer 90+ DPD delinquency

Y-o-Y delinquency change (bps)

All Canadians





Baby Boomers





Gen X










Gen Z






TransUnion insisted the credit performance of the youngest generations is especially significant because they are increasingly taking a larger role in the overall Canadian credit marketplace.

In fact, analysts discovered the share of all credit-active consumers in the millennial and Gen Z age ranges combined has increased from 28.0 percent in Q4 2015 to 30.0 percent in Q4 2016, and again to 31.6 percent in Q4 2017 — an increase of 12.2 percent in just the last two years.

Conversely, between Q4 2015 and Q4 2017, the number of Baby Boomers (born 1946 to 1964) with credit declined 3.4 percent, while Gen X (born 1965 to 1979) dropped 1.6 percent.

“Millennials are already a significant part of the consumer credit dynamic in Canada. In fact, Millennials surpassed Gen X in market share for consumer credit at the end of 2016 and continued to outpace them in 2017,” Fabian said.

“Of even greater anticipated consequence is Gen Z, even though they comprise only 7 percent of all credit consumers in Canada currently,” he continued. “The share of Gen Z consumers will increase materially in the next few years as they are expected to grow from about 25 percent of the population today to 30 percent in a few years, with many obtaining a credit product for the first time.

“It will be important for lenders to understand the credit needs and preferences of this rapidly growing segment in order to effectively serve them in the coming years,” Fabian went on to say.

Keeping tabs on interest rates

The latest Industry Insights Report from TransUnion also showed that the consumer credit market is performing well.

The overall risk tier mix of Canadian consumers has improved, with 68 percent of consumers having prime or better risk scores — a 2.3 percent increase over last year. The number of consumers with access to credit also has increased about 0.4% in the last year to 28.5 million.

Serious delinquency levels for all major credit products remain at relatively low levels, though recent Bank of Canada rate increases may be starting to impact some consumers.

Q4 2017 Canadian Consumer Credit Debt/Delinquency Picture


Average Balance

Annual% Change


Delinquency Rate*

AnnualBasis Point Change (bps)

Credit Cards




+1 bps

Installment Loans




+14 bps

Auto Loans




+8 bps

Lines of Credit




-13 bps

Mortgage Loans




- 7 bps

*Serious delinquency rates are 60 days or more past due for all credit products except for credit cards (90+ DPD).

“Most consumers will not be materially affected by the Bank of Canada rate increases. However, using our next-generation CreditVision credit data that identifies payment amount trends and behaviors, we have started to see an uptick in delinquency among pockets of consumers vulnerable to an interest rate shock,” Fabian said.

In 2017, TransUnion observed an increase in 90-day delinquency in consumers who have typically made just their minimum monthly payments or slightly more. The percentage of such consumers rose 2.9 percent over the past year to approximately 120,000 consumers.

“These consumers are among the most vulnerable to interest rate increases — the fact that they are making monthly debt payments near the minimum due indicates that they may have less financial cushion to absorb monthly payment amount increases,” Fabian said.

“While it’s a relatively small percentage of the overall consumer credit population, it is important for lenders to identify those consumers who are most at risk from interest rate increases, and to incorporate these insights into their customer and portfolio management strategies,” Fabian added.

Fabian also touched on observations solely about the auto finance sector; a trend likely quite familiar to underwriting departments.

“There has been a move toward longer terms. In Canada, that’s certainly been the case. It’s allowed consumers to afford more expensive vehicles than maybe they would have as their payments are no longer an obstacle. So we’ve seen balances grow as a result,” Fabian said.

“It will be something that we’ll keep an eye on if it promotes more risk into the system,” he went on to say.

Regional analysis

While most parts of Canada have seen relatively low delinquency levels over the course of the last three years, TransUnion pointed out that two provinces proved to be outliers — Alberta and Saskatchewan.

Analysts explained the massive drop in oil prices between 2014 and 2016 negatively impacted consumer credit performance in Alberta and Saskatchewan, but these risks, too, may finally be subsiding.

“Economic conditions have been improving for a few quarters in these two oil provinces, but we had not seen similar improvements in consumer credit behavior,” Fabian said. “We’re beginning to see that now, as delinquency rates are finally beginning to drop on a yearly basis while debt level increases have slowed in these provinces.”

The report mentioned the average non-mortgage debt balance per consumer in Alberta and Saskatchewan grew below the national average, increasing 1.7 percent and 2.6 percent, respectively. Although the actual dollar balances are still above the national average, TransUnion observed that this growth trend has slowed.

Also reassuring, according to analysts, is that the 90-day delinquency rate dropped in both provinces (down 4 basis points in Alberta and down 24 basis in Saskatchewan).

Ontario saw the largest yearly increase in average consumer non-mortgage debt at 6.2 percent to $30,191.

“This growth appears to be driven by a couple of factors, including auto finance where Ontario consumers recorded the highest percentage increases in both volume and average size of auto loans. We also saw material increases in lines of credit and mortgages, likely due to increased home equity values, especially in the greater Toronto Area,” Fabian said.

Although Quebec consumers remain the least indebted, with average non-mortgage consumer debt at $22.543, TransUnion noted the province did see an increase of 3.1 percent year-over-year, marking the third consecutive quarter where balances grew.

TransUnion added serious delinquency rates in Quebec remain very low, and well below the national average at 4.3 percent (an annual drop 7 basis points).

What else analysts are watching

Fabian noted that this year’s increase in the Canadian minimum wage should enhance consumer confidence further. However, he and the TransUnion team are expected some slowdown in overall economic growth because 2017 was so robust.

“We’ve seen disposable income go up quite a bit year-over-year. The latest data suggests the median household income continues to increase from previous year. That’s partially fueling things,” Fabian said. “Plus, it’s just an overall economic expansion. If you look at the fundamentals, we have one of the lowest unemployment rates in many years. We see GDP in Canada continue to grow and expands.

“Of course, there are risks with possible changes to (the North American Free Trade Agreement) and other agreements and how those might affect overall consumer trends going forward. Those also might be regional depending on the negotiations with NAFTA go,” Fabian continued.

“I think in Q1 you will see growth but not at the rate it was 2017. It will be interesting to see how consumers adjust and if we start to see some deleveraging happen,” he went on to say.

More information about the Q4 2017 TransUnion Canada Industry Insights Report, including details about a variety of credit products, can be found here. You can visit this website to register for TransUnion's Q4 2017 Industry Insights Webinar scheduled for March 7 at 2 p.m. ET.

Axis Auto Finance sets new revenue record


On Wednesday, publicly-traded subprime automotive finance company Axis Auto Finance shared results from the second quarter of its 2018 fiscal year; a span that ended on Dec. 31 and included a new record.

The company highlighted its Q2 revenue shot up to a record $2.2 million, up 34 percent from $1.6 million a year earlier. Executives calculated Q2 revenue equated to an annualized revenue run-rate of $8.7 million, compared to actual 2017 fiscal year revenues of $6.8 million.

Thanks to the revenue jump, Axis Auto Finance reported net income for the quarter was $44,696, or $0.001 per share, a significant improvement from the net loss of $161,044 in Q2 of fiscal 2017.

Axis also shared several other metrics from its Q2 financial report, including:

— Lease receivables balance of $25.4 million at the end of the quarter compared to $20.6 million as of Dec. 31, 2016

— Average portfolio yield of 35 percent, unchanged year-over-year

— Annualized loss rate at 6.17 percent, down from 6.98 percent for the second quarter of fiscal 2017

— Adjusted earnings of $0.4 million for the quarter compared to $0.2 million for the second quarter of fiscal 2017

The company also pointed out its annualized loss rate well within the management expectation of a loss rate that can fluctuate between 5 percent and 10 percent.

Axis Auto Finance closed by noting he average portfolio remains consistent with the management objective to maintain the average yield on its lease receivables portfolio above 30 percent. 

Reynolds and Motoinsight partner to help dealers access financing data


Canadian dealers now have another way of verifying incentive levels and other financing data associated with a vehicle a potential buyer is considering.

This week, Reynolds and Reynolds Canada and Motoinsight announced an agreement that will enable dealers that use the Reynolds ERA-IGNITE dealership management system (DMS) to seamlessly access Motoinsight’s automotive data for customer incentives in the Canadian marketplace.

Executives highlighted the Motoinsight data will help ensure that dealers operating on ERA-IGNITE will have timely access to the latest information for vehicle residual values, standard financing rates and vehicle incentives when working with a customer on a vehicle purchase or lease agreement.

Reynolds is a leading provider of automobile dealership software, services and forms. Motoinsight is one of the Canadian market leader for automotive data, technology and digital retailing solutions.

“We are truly excited about the relationship and the opportunity to work with Reynolds,” Motoinsight president Radek Garbowski said.

“Canadian retail automotive lending programs can often be difficult to decipher. We understand how important it is that dealers have timely access to accurate and easy-to-understand incentive data when working a deal,” Garbowski continued.

The companies went on to mention that Motoinsight’s finance company-based, market data combined with the strength of Reynolds’ ERA-IGNITE DMS platform can help dealers to structure a deal for a consumer quickly, precisely, and with confidence.

“Motoinsight is a leader in the industry and a company with deep experience in this market,” said Bob Schaefer, vice president of OEM relations and data services at Reynolds.

“Adding reliable access to this data is one more step for Reynolds in helping automotive retailers improve how their businesses operate and how they deliver a rewarding retail experience to their customers, Schaefer went on to say.

CFLA chief Rothe aims for diversity — on many levels

CARY, N.C. - 

In these early days of his tenure as president and chief executive of the Canadian Finance & Leasing Association, Michael Rothe says an important part of his job right now is “to listen and to learn.”

“I don’t want to drive change for change’s sake,” Rothe said in a November phone interview with Auto Remarketing Canada. “It needs to be thoughtful. My predecessor had been there for 22 years and had done a phenomenal job.”

Rothe, previously the director of legal services for the Ontario Motor Vehicle Industry Council, became CFLA president and CEO in October, following the retirement of predecessor David Powell.

And there are two particular initiatives started by Powell that Rothe is helping to carry to fruition, one of which has some parallels to Cherokee Media Group’s Women & Automotive: Canadian Leadership Forum.

CFLA, which has joined Cherokee’s Auto Remarketing Canada Conference (March 27-28) and Women & Automotive (March 29) events as a partner, has launched a project called the Women in Asset Finance initiative.

That project aims to drive more female representation in higher, senior-management roles in the asset finance industry, “where they do tend to be underrepresented,” Rothe said.

The initiative will include such measures as:

— Receptions and luncheons to connect women in junior leadership roles with folks in senior leadership positions, with the goal of creating mentorship opportunities

— Training components

— Partnerships (including its partnership with Cherokee Media Group) to raise awareness of the important of having fair representation of women in the industry

Roche points out that these efforts are not just the right thing to do or even offering “eat your vegetables” benefits, he said.

It also helps the bottom line, he said. Rothe cites a McKenzie and Company survey that indicates a gender-diverse company is 15 percent more apt to perform better than one that is not as diverse.

The Women & Automotive event has similar goals. Now in its third year, the event is a one-day forum for revolutionary leaders, risk takers and agents of change to share and discuss practical approaches for advancing women into leadership roles in the Canadian automotive industry. It aims to provide women entering the automotive industry with the education, networking and career opportunities to prepare them in assuming top-tier leadership roles.

Also, beyond just networking, the event is geared toward fostering connections between mentors and mentees, forging key relationships leading to successful careers.

Driving research, economic impact

Another initiative on which Rothe is aiming to continue momentum is a deep research project where “instead of reacting to issues as they arise, we’re going to take a more proactive stance and actually initiate research,” he said.

They have two topics in mind for this project, but have not determined which will be selected, “but both are very exciting” and help the industry engage further with government and the broader economic arena, Rothe said.

Speaking of the latter, Rothe said in his first couple of months leading CFLA, he has more deeply learned about the economic impact of the asset finance sector.

“First and foremost, I’ve learned the importance of this industry in terms of it being a driver for the broader economy,” Rothe said.

CFLA covers the vehicle leasing/finance arena, but also the equipment finance/leasing side. Combined they’re a $380 billion industry in Canada.

The sector has its biggest impact on small to medium enterprises and consumers, he said.

The industry finances everything from construction equipment and photocopiers to cars. Such financing provides money to businesses that might not otherwise have it and helps them grow.

'Get that rocket fuel'

While again, his first mission is that of a listener and learner, Rothe has a number of focuses he is eyeing.

Some of the items he will focus on are CFLA’s internal governance of the organization to make it a bit “tighter,” and “leveraging technology better.” For example, on the latter, using videoconferencing instead of teleconferencing or streamlining the website.

“And then finally to raise the profile of the association, not to the public generally, but to thought-leaders, both in government and in the industry, and to do that through the use of research.

“There’s a lot of valuable data that CFLA has access to,” he said, “some of which we, by design, would keep internal to our members, but some of which could be leveraged and made public” to show the value of an industry that sometimes gets lost in the “shadow of the larger banks.”

The industry CFLA covers is an “important” alternative to larger banks for folks to get financing. Rothe emphasizes the importance of “diversification” in financing, which allows smaller businesses the chance to blossom – entities that, “might not otherwise be able to get that rocket fuel that will juice our economy and help move us forward.”


GUEST COLUMN: Ignoring subprime is like shooting yourself in foot


Times have changed for Canadian car dealerships. From the generational switch in car buying to the impact of technology in the auto industry and the heightened percentage of subprime car buyers. Dealerships need to ask themselves more than ever how their subprime department is doing.

The Chartered Professional Accountants of Canada reported that subprime loans comprised 25 percent to 35 percent of Canadian car loans in 2015, so catering to credit-challenged customers at your dealership seems like a no-brainer. However, not all dealerships focus on subprime, but that doesn’t mean that you should neglect having a subprime department. Here’s why:

1. Subprime helps move aged inventory
Having aged inventory is one of the biggest problems a dealership can have. Once your inventory hits 90-days, there's a good chance that you'll end up losing money just to move the iron. Having a subprime department will give you access to the customers who are interested in your older units, which will help you keep your used inventory moving.

2. Your GPPV will rise
Internet pricing has been impacting front-end profits on used vehicle sales since the mid-2000s. A subprime department at your dealership will give you the ability to work with customers based on financing as opposed to bringing in customers based on competitive market pricing. This means you'll be able to bring up your GPPV.

3. Your sales talent will stick around
According to the National Automobile Dealers Association’s 2014 Dealership Workforce Study, one of the main reasons why a dealership loses their top sales people is due to income. Michael Hatch, the chief economist for the Canadian Automobile Dealers Association, has said there are also challenges and stresses for car salespeople working in commission-based industry. It's no wonder top sales people are getting lured away. Having a subprime department can help keep your top performers happy while ensuring that they aren't looking for greener pastures.

4. You won’t miss manufacturer targets
New-car franchises are always chasing manufacturer targets because there is so much revenue at stake. A subprime customer usually comes in for something that they can’t qualify for, and you can steer them towards the most inexpensive, brand-new vehicle you have. Subprime banks offer sub-vented rates on new vehicles to make it easy to fit in approvals. Subprime departments help dealerships get those extra new car sales, which could make the difference between hitting or missing your manufacturer bonus.

Ben Sutherland is an account manager at Canada Drives

Dealertrack Canada adds Nissan, Infiniti financial arm to credit app network


Dealertrack Canada announced Tuesday that the company has added the financial arm of the Nissan and Infiniti brands in Canada to its online credit application network.

The new partnership enables Nissan and Infiniti dealers in Canada to now secure financing for customers from Nissan Canada Finance/Infiniti Financial Services via the Dealertrack Canada online credit application network.

"We are excited to have Nissan Canada Finance/Infiniti Financial Services who is one of the fastest growing OEM’s in the Canadian market join the Dealertrack network," Dealertrack Canada vice president and general manager Richard Evans said in a news release.

"Canadian Nissan and Infiniti dealers across the country can now start to leverage a variety of benefits and efficiencies provided by the Dealertrack network," he said.

Nissan Canada Finance/Infiniti Financial Services provides commercial lending and automobile retail loans and leases to its dealers.

"The Dealertrack Captive Lender program will provide all our Canadian dealers with access to Nissan Canada Finance/Infiniti Financial Services while making the buying process more convenient for our customers,” added Alain Ballu, president of Nissan Canada Financial Services.

Acquisition expands iA Financial Group’s US dealer business


Officials from iA Financial Group made a significant move into the United States.

The company announced it has signed an agreement to acquire the shares of privately owned, U.S.-based Dealers Assurance Company and Southwest Reinsure, collectively known as DAC.

The company revealed the purchase price was $135 million. The acquisition will be financed from cash on hand and reduce the iA Financial Group’s solvency ratio by approximately 8 percentage points.

The deal is expected to be modestly accretive to earnings in 2018 and to contribute $0.05 per share in 2019. The transaction is scheduled to close in the last quarter of this year, subject to the usual regulatory approvals in Canada and the U.S.

Founded in 1985 and based primarily in the Southwest portion of the U.S., DAC distributes vehicle service contracts and extended warranties through a cross-country network of franchised and independent dealers in the U.S.

This acquisition more than doubles the scale of the iA Financial Group’s vehicle warranty business. In 2016, iA Financial Group reported direct written premiums of $197 million from vehicle warranties in Canada.

With the addition of DAC in the U.S., combined premiums on a similar basis would represent approximately $500 million. All amounts are in Canadian dollars on a current exchange rate basis.

“Having built a solid presence in personal insurance in the U.S. and after close consideration of strategic opportunities to enlarge our U.S. footprint, we have chosen to make our next move in the automobile warranty market,” said Yvon Charest, president and chief executive of iA Financial Group. “This is a business where we have built tremendous know-how and experience over the last 20 years in Canada, which we now want to leverage in the larger U.S. market.”

Mike Stickney, president of iA American added, “The U.S. market for extended warranties is about $15 billion or ten times that of Canada. “It is very fragmented with significant opportunity for growth and consolidation.

“With our solid track record in the extended warranty business in Canada together with the established presence of DAC in the U.S., we look forward to this new chapter in our U.S. expansion with great anticipation,” Stickney went on to say.

TransUnion’s Q2 report notes rise in outstanding balances


Canadian consumers continue to take on more debt to take delivery of the vehicle they want.

According to TransUnion’s Canada Industry Insights Report released this week, the average outstanding balance on a contract rose during the second quarter by 2.57 percent year-over-year, leaving the figure at $19,087.

While that average outstanding balance grew, TransUnion noticed serious delinquencies didn’t spike during Q2. The report pinpointed serious delinquency in the auto finance space — where payments are 60 days or more past due — at 1.80 percent, representing a rise of just 9 basis points from a year earlier.

As of Q2, TransUnion determined more than 27 million Canadian consumers had access to credit. Approximately 26 million consumers had access to revolving credit such as a credit card, while 8.8 million had a non-revolving loan such as a mortgage or auto loan.

“With the macroeconomic backdrop of a growing economy, low unemployment and strong consumer confidence, we observed robust growth in installment and auto loans,” said Matt Fabian, director of research and industry analysis for TransUnion Canada.

“At the same time, credit card volumes show signs of continued saturation and lines of credit remain relatively stagnant, albeit with potential opportunities for lenders in specific markets,” Fabian continued.