Credit Acceptance Corp

Credit Acceptance Corporation (Nasdaq: CACC) provides auto financing programs through a nationwide network of automobile dealers. The programs let dealers sell vehicles to consumers regardless of credit history, often non-prime borrowers who could not otherwise obtain financing.

**How the model works**
- Dealers assign retail installment contracts ("Consumer Loans") to the company.
- The company forecasts each loan's future cash flows at assignment.
- It then pays the dealer either an advance (portfolio program, "dealer loans," with later dealer holdback payments) or a one-time purchase payment (purchase program, "purchased loans").
- Pricing is set to maximize economic profit.

**Revenue sources**
- Finance charges on its loan portfolio, which totaled roughly $8.1 billion net as of September 30, 2026.
- Premiums earned on ancillary products, which are administered by third parties.
- Other income.

**Funding and operations**
- The business is funded through asset-backed secured financings, revolving warehouse facilities and senior notes.
- The company reports to the three national credit bureaus, giving consumers a chance to rebuild credit.
- It is investing in data and AI-driven underwriting (including a new scorecard), dealer segmentation, and integrations with dealer aggregator platforms.
- In Q3 2026 it served a record 12,093 active dealers. Updated Oct 29, 2026