London-based technology company Misys has plans for an IPO; the company had planned to offer its stock in 2016 but decided against its IPO and now says it could still be a possibility; the firm's CEO Nadeem Syed said it is currently focusing on its new machine learning and P2P lending products; earlier in January it announced a new P2P lending solution for banks, FusionBanking Crowdlending; currently it offers its clients a broad range of solutions through its FusionBanking products and its targeting existing clients with its new products. Source
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The below chart was taken from a Business Insider article discussing subprime auto lending. Since 2010, auto originations have been increasing steadily, topping $465.6 billion in 2016. This increase has been in part due to the low interest rate environment. Many people have speculated that the increase in subprime auto loans should be cause for concern. The subprime share of auto loans currently sits at around 17% as shown below. Data from Equifax and VantageScore from 2015 to 2016 shows auto loan delinquencies have increased from historical lows. In 2015, severe delinquencies (60 days+ past due) were 1.24% compared to 1.35% today. As of December 2016, 13.1% of the portfolios at banks and credit unions were considered subprime, defined as having a credit score less than 620, compared to 34.8% of other finance companies. Source
PayPal's fourth quarter earnings release revealed a number of interesting developments for the company; the firm has been steadily growing its partnerships with e-commerce businesses which has helped increase the number of payment transactions per customer; in the fourth quarter PayPal reported 31.1 transactions per active customer which was an increase from 30.2 in the previous quarter and 27.5 in the comparable quarter; PayPal's CEO Dan Schulman has also discussed a new partnership with Amazon that would allow Amazon customers to pay for purchases with PayPal which would further support increases in its customer account activity. Source
