CREDIT ACCEPTANCE Business Summary

Credit Acceptance Corp (CACC) is a specialized financial services firm that provides indirect automobile financing through a nationwide network of dealer-partners. The company primarily generates revenue through finance charges, premiums earned from the reinsurance of vehicle service contracts, and servicing fees. Its operations are divided into two core business segments: the Portfolio Program, where the company advances funds to dealers in exchange for the right to service consumer loans, and the Purchase Program, where it acquires consumer loans directly from dealers. As of early 2026, Credit Acceptance maintains a dominant position in the subprime auto lending market by leveraging its proprietary Credit Approval Processing System (CAPS) to offer guaranteed credit approvals. It competes directly with major players such as Ally Financial, Santander Consumer USA, Capital One Auto Navigator, and OneMain Financial, distinguishing itself through its unique dealer-incentive structures and high-yield risk management strategies. Founded in 1972 by the late Donald A. Foss, an industry pioneer who took the company public in 1992, Credit Acceptance is currently led by Chief Executive Officer and President Vinayak R. Hegde, who assumed the role in November 2025 following a high-profile career as Chief Marketing Officer at T-Mobile and leadership roles at Amazon and Airbnb. The executive team includes Chief Financial Officer Jay D. Martin, Chief Operating Officer Jonathan L. Lum, and Chief Technology Officer Ravi Mohan, a veteran of Oracle and Adobe who oversees the firm’s digital transformation initiatives. The leadership is supported by a seasoned board of directors, including Lead Director Thomas N. Tryforos and former CEO Kenneth Booth, who transitioned to an Executive Board Member role in early 2026. Major institutional backing is provided by long-term investors such as Ruane, Cunniff & Goldfarb L.P. and Dimensional Fund Advisors.