Credit Union Auto Asset Purchase Solutions

Debt sale partnership: an auto recovery solution for credit unions

A compliance-first recovery flow partnership with Prestige can help carry out your stewardship to current and future members.

Start a conversation See how it works

Unlock capital
Reduce complexity
Preserve member-centered values

Prestige Financial is a wholly-owned investment of The Larry H. Miller Company.

Market context

Performance pressure makes disciplined post-default strategy increasingly important.

“Loan performance has declined. The overall delinquency rate and rolling 12-month loss rate within federally insured credit union loan portfolios is at its highest point in over a decade.”

NCUA, 2026 Supervisory Priorities Letter 26-CU-01, January 2026

Reduced resilience

Auto portfolios show weaker resilience even among prime buyers, driven by higher vehicle prices, larger payments and affordability pressure.

Competing demands

More accounts compete for specialized attention, compliance oversight and recovery resources.

A strategic decision

Each institution must decide whether to build, retain or transfer recovery capacity, based on economics, expertise and member priorities.

How a forward-flow partnership works

A forward-flow agreement alleviates the uncertainty and complexity of debt recovery.

The credit union sells qualifying accounts to Prestige on a recurring cadence under a pre-agreed contract. The process is streamlined and customizable by account type.

Step 1
Pricing

The charged-off debt portfolio is priced fairly.
Step 2
Liquidity

Cash is delivered to the credit union.
Step 3
Transfer

Debt ownership and data transfer to Prestige.
Step 4
Recovery

Prestige recovers with respectful member treatment.
Step 5
Cadence

A flow cadence is established and customized to your goals.

Eligible flow accounts

Charged-off deficiency
Litigation-stage deficiency
Settlement or resolution portfolios
Bankruptcy
Skip accounts (where collateral recovery is unlikely or impractical)

Operational benefits

Immediate liquidity from eligible purchased balances, at a fair price
A certain, clear outcome for charged-off debt
Resources redirected to active members, lending and growth
One partnership: less administrative burden, clearer accountability, simpler post-default activity
Internal teams stay focused on early-stage default and loss mitigation

Member benefits

Responsible resolution of outstanding deficiency debt on credit reports
One partner, one consistent auditable member experience
Prestige manages the difficult recovery process, supporting your member relationships
Separation between brands, preserving the credit union's reputation

Governance and compliance

A compliance-first platform, refined over 30+ years.

Since 1994, Prestige has serviced the auto loans of consumers in challenging circumstances through multiple economic cycles. It has earned the trust of customers, business partners, auditors, regulators, trustees and rating agencies.

Compliance management

Record of compliance across decades of audits, exams and diligence from regulators, partners and market stakeholders
Pursuing ISO and SOC 2 certifications
Routine employee training on compliance policies and procedures
Technology with built-in compliance controls
Operational visibility, standardized reporting, management controls and quality assurance

Recovery capability

Four specialized departments: recovery, legal, garnishment and bankruptcy
10+ skip-tracing and asset-verification data sources
25+ external law firm relationships
142 state licenses and 52+ jurisdictional compliance frameworks

Core principles

Integrity: Doing the right thing in every interaction with customers and partners.
Stewardship: Helping consumers improve their credit history and financial future.
Reputation: Defending the credit union's reputation through member treatment and compliance.
Dignity: Treating each customer with care in challenging times.

Track record

Experience across economic cycles.

Deficiency balances recovered: $260M+
Loan volume originated: $8B+
Accounts serviced: 400K+
State licenses: 142
Jurisdictional compliance frameworks: 52+
External law firm relationships: 25+
Average tenure, recovery-related employees: 9.4 yrs
Top Utah Workplace, Salt Lake Tribune: 5x

Backed by The Larry H. Miller Company

As a wholly-owned investment of The Larry H. Miller Company, Prestige practices the Miller values and promotes the company's mission of enriching lives by helping individuals build a better financial future.

Next conversation

Assess the fit for your credit union.

We will review portfolio scope, current operating model, member-treatment expectations, conceptual economics and process together.

Contact Prestige