Profits at the Puerto Rico-based company rose in the second quarter, lifted in part by commercial loan growth in its U.S. operations. Popular executives said they have sold off the company’s remaining direct exposure to the island’s central government.
TCF executives were peppered with questions about the quality of $345 million in auto loans recategorized as held for investment in the second quarter, as a result of the company’s recent move away from loan sales and securitizations.
Auto risks mounting. Mortgage market tightening. Are there any good risks these days in consumer lending? Regional bank executives insist partnerships with online lenders, unsecured personal loans and other niche efforts can work if done properly.