Credit Acceptance Completes $252.0 Million Asset-Backed Financing

SOUTHFIELD, Mich. — Credit Acceptance Corp. recently
completed a $252.0 million asset-backed non-recourse secured financing.

Pursuant to this transaction, the company said it contributed
loans having a net book value of approximately $315.1 million to a wholly-owned
special purpose entity that will transfer the loans to a trust.

Credit Acceptance explained this trust will issue three
classes of notes.

"The Class C Note does not bear interest and is being
retained by us," company officials pointed out.

Credit Acceptance indicated the Financing is design to meet
a trio of objectives, including:

—Have an expected annualized cost of approximately 2.0
percent including the initial purchaser's fees and other costs.

—Revolve for 24 months after which it will amortize based
upon the cash flows on the contributed loans.

—Be used by the company to repay outstanding indebtedness.

Management pointed out it will receive 6.0 percent of the
cash flows related to the underlying consumer loans to cover servicing
expenses. Officials added the remaining 94.0 percent, less amounts due to
dealers for payments of dealer holdback, will be used to pay principal and
interest on the notes as well as the ongoing costs of the financing.

Credit Acceptance explained the Financing is structured so
as not to affect its contractual relationships with its dealers and to preserve
the dealers' rights to future payments of dealer holdback.

"The notes have not been and will not be registered under
the Securities Act of 1933 and may not be offered or sold in the United States
absent registration or an applicable exemption from registration requirements,"
officials stated.

"This news release does not and will not constitute an offer
to sell or the solicitation of an offer to buy the notes," they went on to say.
"This news release is being issued pursuant to and in accordance with Rule 135c
under the Securities Act of 1933."