Facebook Vice President David Marcus is the face of the company's Libra digital currency, but the original driving force was a 26-year-old female engineer named Morgan Beller.Technologyread more
CoinShares Chief Strategy Officer Meltem Demirors discusses Facebook's Libra project and its impact on the cryptocurrency market after testifying to the House Financial...Fast Moneyread more
After a year of flooding, Midwest farmers face a stifling heat wave that's spreading across the U.S.Agricultureread more
Iran's Revolutionary Guard claims a British tanker it still holds, Stena Impero, failed to follow international maritime rules.World Newsread more
Moving lots of data to a public cloud over the internet can take months or years. CNBC got an inside look at how AWS transfers data to the cloud for its clients.Technologyread more
A quarter of the S&P 500 companies report earnings next week, and that could buffet the market as investors await the July Fed meeting.Market Insiderread more
Some 40% of Americans would struggle to come up with even $400 to pay for an emergency expense. Just how are so many Americans so short on cash? Blame debt.Personal Financeread more
Amazon hires Trump-allied lobbyist Jeff Miller as battle for Pentagon contract heats up.Politicsread more
In a series of tweets, the president addressed an unusual controversy stemming from a speech delivered Thursday by New York Fed President John Williams.Marketsread more
"You need to understand that we're about to embark on the busiest week of the year for industrial earnings," CNBC's Jim Cramer says.Mad Money with Jim Cramerread more
Boston Federal Reserve President Eric Rosengren is lining up against an apparent push to cut interest rates, telling CNBC in an interview Friday that the central bank can...The Fedread more
The auto lending business is all revved up, thanks to Wall Street.
More auto loans and leases are being cranked out at banks like JPMorgan Chase and Wells Fargo at a time when consumers are piling on more debt — and lengthier loans — to cover new and used car purchases.
JPMorgan saw auto loan and lease origination volume jump by 9 percent year over year, to $8.5 billion, the bank reported in its second-quarter earnings. Overall, the bank said its auto loans and leases rose 17 percent year over year. Wells Fargo also showed an increase in auto originations, with a 2 percent rise year over year and an 8 percent increase from the first quarter of $8.3 billion, it announced in its earnings Friday.
The total dollar amount lent to car buyers eclipsed the $1 trillion mark earlier this year, and it remains to be seen whether anything can stall growth in auto loans at a time when borrowing costs consumers so little.
JPMorgan CFO Marianne Lake said Thursday on the bank's earnings call that it has "maintained our underwriting discipline with average FICO scores. " Later on the call, when pressed for specifics by an analyst who asked if JPMorgan had applied consistent standards to its auto lending, Lake said only that it has focused on consumers with "very high" scores.
Auto loans aren't the only thing that's growing; their size and duration are on the rise as well this year, according to data from Experian. The average monthly payment, around $500, is up to a record mark, according to a June report from the firm, and the industry's average loan size for new cars is also at an all-time high, having eclipsed the $30,000 mark.
The average U.S. transaction price for new, light vehicles was $33,652 in June, according to automobile price-tracking firm Kelley Blue Book.
The Experian report also highlighted that the average credit score for a new car loan borrower, at 710, has fallen slightly from the prior year.
But even leadership at the big banks pouring more cash into auto loans has wondered how long the car sales rally can continue.