CHICAGO, Oct. 6, 2017 /PRNewswire/ -- Enova
International, Inc. (NYSE: ENVA), a leading financial technology
company offering consumer and small business loans and financing,
has completed a preliminary assessment of the Small Dollar Rule
released yesterday by the Consumer Financial Protection Bureau
(CFPB).
Over the past several years, Enova has rapidly diversified its
product offerings to meet consumer preferences for credit. After
reviewing the final rule, the company anticipates that if it is
implemented without additional changes, products that today
comprise approximately 15% to 20% of its second quarter 2017 total
revenue will be subject to the short-term loan specific portions of
the rule. Domestic products that represent an additional 50% to 55%
of revenue may be subject to the changes to the payment
pre-authorization process. Enova estimates that revenue for the
impacted products would experience less than a 10% decline from
current levels. This initial assessment does not take into account
potential offsets from changes in the competitive landscape as a
result of the final rule, any changes in state regulation or
Enova's ongoing diversification efforts.
"We are confident in our ability to successfully adapt to these
new regulations," said David Fisher,
Enova's CEO. "Our technology and experience provide us with a
measurable advantage as we take the steps needed to ensure our U.S.
consumer products comply with this new regulation. We've worked
diligently to diversify our business, which has created significant
growth in our installment and line of credit products, resulting in
reduced exposure to this rule. We've seen very strong demand in our
longer-term products offered by NetCredit, renewed growth in our
U.K. business, success in building our small business and
Brazil offerings, and good
customer interest in Enova Decisions, our Analytics as a Service
offering."
"We believe all Americans deserve access to credit, we fully
support fact-based regulations and we applaud efforts to remove bad
actors from the industry," said Fisher. "We continue to be
concerned about efforts that may unduly restrict American's access
to credit or become overly burdensome to consumers. We welcome the
opportunity to partner with the government to protect consumers,
and we will work hard between now and when the rule takes effect to
ensure we are able to continue our mission to responsibly serve the
millions of hardworking people who need and deserve access to
credit."
About Enova
Enova (NYSE: ENVA) is a leading provider
of online financial services to non-prime consumers and small
businesses, providing access to credit powered by its advanced
analytics, innovative technology, and world-class online platform
and services. Enova has provided almost 5 million customers around
the globe access to more than $20
billion in loans and financing. The financial technology
company has a portfolio of trusted brands serving consumers,
including CashNetUSA®, NetCredit®, On Stride Financial®, Pounds to
Pocket®, QuickQuid® and Simplic®; two brands serving small
businesses, Headway Capital® and The Business Backer®; and offers
online lending platform services to lenders. Through its Enova
Decisions™ brand, it also delivers on-demand decision-making
technology and real-time predictive analytics services to clients.
You can learn more about the company and its brands at
www.enova.com.
Cautionary Information Regarding Forward-Looking
Statements
This press release contains forward-looking
statements within the meaning of within the meaning of Section 27A
of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934 about the business, financial condition and
prospects of Enova. These forward-looking statements give current
expectations or forecasts of future events and reflect the views
and assumptions of Enova's senior management with respect to the
business, financial condition and prospects of Enova as of the date
of this release and are not guarantees of future performance. The
actual results of Enova could differ materially from those
indicated by such forward-looking statements because of various
risks and uncertainties applicable to Enova's business, including,
without limitation, those risks and uncertainties indicated in
Enova's filings with the Securities and Exchange Commission
("SEC"), including its annual report on Form 10-K, quarterly
reports on Forms 10-Q and current reports on Forms 8-K. These risks
and uncertainties are beyond the ability of Enova to control, and,
in many cases, Enova cannot predict all of the risks and
uncertainties that could cause its actual results to differ
materially from those indicated by the forward-looking statements.
When used in this release, the words "believes," "estimates,"
"plans," "expects," "anticipates" and similar expressions or
variations as they relate to Enova or its management are intended
to identify forward-looking statements. Enova cautions you not to
put undue reliance on these statements. Enova disclaims any
intention or obligation to update or revise any forward-looking
statements after the date of this release.
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SOURCE Enova International, Inc.