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RIFCO Inc. V.RFC

RIFCO Inc is an auto-purchase finance company. Its subsidiaries are engaged in vehicle financing. The company provides non-traditional vehicle financing to motorists through a growing network of select new and used vehicle retailers. Its auto financing is available to both franchise and independent dealers who want to create a partnership. The company has its operation in all provinces in Canada except Quebec.


TSXV:RFC - Post by User

Bullboard Posts
Comment by pharesfon Feb 04, 2013 4:42pm
124 Views
Post# 20936503

RE: RE: RBC completes acq of Ally's car financing

RE: RE: RBC completes acq of Ally's car financing

Great Post OB1! Looking back at other acquisitions is also very intriguing. VFC by TD and Travellers Lease by ScotiaBank, the latter one here is very interesting. Travellers was involved in leases vs conditional sales contracts, did quite well and dealerships really enjoyed using them. However, when Scotia stepped in their process immediately dropped leases as their primary method for lending money to higher risk clients. Scotia just wanted the portfolio as a headstart in the subprime lending business and it worked quite well for them. RFC has a very interesting approach to approving loans, not as systematic as other lenders yet their losses are appropriate levels. Majors may like the low losses but I doubt the informal approval process, so just over time we will have to see how pretty all those loans will be in that high risk portfolio.                                                             -Phares

Bullboard Posts