Comerica Extends, Increases Credit Acceptance Revolving Facility
Credit Acceptance Corporation announced that it has extended the maturity of its credit facility with Comerica Bank as administrative agent and collateral agent for a syndicate of banks from June 22, 2014 to June 22, 2015 and increased the amount of the facility from $205 million to $235 million.
The interest rate on borrowings under the facility has also been decreased from the prime rate plus 1.25% or the LIBOR plus 2.25%, at our option, to the prime rate plus 0.875% or the LIBOR rate 1.875%, at our option. There were no other material changes to the terms of the facility.
The credit facility continues to be secured by a lien on most of the company’s assets. As of June 15, 2012 it had $8 million outstanding under the facility.
Since 1972, Credit Acceptance has offered automobile dealers a financing program that enables them to sell vehicles to consumers, regardless of their credit history.
Previously on abfjournal.com: