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  1. Resource Center
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  3. Client Voices: Auto Finance Risks

Client Voices: Auto Finance Risks

  1. Resource Center
  2. Allied Insights
  3. Client Voices: Auto Finance Risks
By Allied Solutions,
July 23, 2025
With rising vehicle prices and inflation, more people are falling behind on their auto loans. In this conversation, credit union leaders share how they’re finding new ways to help borrowers stay in their vehicles—while also protecting their financial institutions from risk.
 

Client Voices: Auto Finance Risks

 

Auto lending is under pressure. Rising delinquencies, inflated vehicle values, and regulatory ambiguity are leaving credit unions with a critical challenge: reduce losses without losing sight of member care.

In a recent panel discussion, Allied Solutions’ Chief Lending Consultant Jack Imes and SVP Anne Holtzman sat down with Donna Svehla (Chief Lending Officer, GTE Financial) and Jose Iregui (Executive Director, CUAutoFI)—two members of Allied’s Advisory Board—to share key trends, lessons, and forward-looking strategies for modern auto finance.

 

Balancing Empathy with Financial Responsibility

Soaring vehicle values are pushing many borrowers underwater, driving delinquencies higher across the industry. But credit unions face a dual responsibility: protect the portfolio while supporting the member.

“It’s a balance between can’t pay or won’t pay,” Donna explained. Member communication, and attitude, can’t be overlooked in collections.

To better engage members, GTE Financial leverages Allied’s financial service offer solution—a digital engagement tool that reaches members within online banking at the first signs of delinquency. The result? More self-service resolutions and fewer charge-offs.

 

Future-Focused Tools for Smarter Recovery

Jose emphasized the importance of tech-forward risk mitigation:

“We’ve employed tools to better track, monitor, and understand our portfolio. In return, we’re able to offer better products that match member needs.”

Using deep analytics modeling and forecasting, Jose’s team is optimizing decision-making and proactively adapting to economic headwinds. The takeaway: credit unions that embrace technology reduce losses and gain long-term resilience.

 

Navigating a Shifting Regulatory Landscape

Lending regulations are evolving rapidly—and often without clarity. That’s where partnership matters. “This is why we work with Allied Solutions: we have a partner that is watching our backs,” Jose noted.

Anne added that it’s up to credit unions and CUSOs to make sense of fragmented regulations and act decisively: “With the right tools and regulatory knowledge, you reduce risk, improve compliance, and most importantly build deeper member trust.”

 

Why Digital Lending Still Requires Human Connection

The panel agreed: members want digital tools, but not at the expense of human interaction. “We have to meet consumers where they are, but we can’t lose the personal touch,” Anne shared. Digital transformation is essential, but only when it reinforces relationships.

At Allied, business is personal. Clients don’t just use software—they get access to people who understand the challenges of credit union lending. Our digital-first tools are backed by expert consultants and built to fulfill the credit union mission of people helping people.

 


 

About the Allied Solutions Advisory Board
The Allied Solutions Advisory Board is a group of respected credit union leaders who help shape recovery, lending, and risk solutions nationwide. Their hands-on insight ensures Allied brings forward the right tools at the right time—reducing risk and enabling responsible growth.

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