Credit Acceptance Announces Extension and Increase of Revolving Secured Line of Credit Facility
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SOUTHFIELD, Mich. — Credit Acceptance Corp. recently
extended the maturity of its credit facility with a commercial bank syndicate
from June 22, 2014 to June 22, 2015.
Furthermore, Credit Acceptance indicated it increased the
amount of the facility from $205.0 million to $235.0 million.
Officials explained the interest rate on borrowings under
the facility has also been decreased from the prime rate plus 1.25 percent or
the LIBOR rate plus 2.25 percent, at its option, to the prime rate plus 0.875
percent or the LIBOR rate plus 1.875 percent, at its option.
"There were no other material changes to the terms of the
facility," Credit Acceptance stated.
"The credit facility continues to be secured by a lien on
most of our assets. As of June 15, we had $8.0 million outstanding under the
facility," officials concluded.