Yet another lender has backed out of the automotive finance business. As of Monday, HSBC has stopped financing vehicles, saying it will focus on its core consumer mortgage lending and credit card business units, reports Special Finance.
HSBC made the decision in July after being a major player in the automotive finance industry for a decade. The company said it will continue to offer auto loans through its Consumer Lending branch offices until a third-party provider is arranged and will continue to honor all outstanding loan commitments.
"Exiting the business allows HSBC Finance Corp. to focus our strategic attention on our core business, which is credit cards and consumer mortgage lending," said Cindy Savio, HSBC’s spokesperson. "Based on the foreseeable market, this was the best option."