Where do consumer finance companies get the funds to loan out?

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Where do consumer finance companies get the funds to loan out?

2007-12-16 12:38:33 · 2 answers · asked by fiestababy05 1 in Business & Finance ➔ Personal Finance

2 answers

they borrow it!!! from large banks!!!

2007-12-20 06:29:21 · answer #1 · answered by Anonymous · 0⤊ 0⤋

Depends what type of consumer finance company you are talking about. If it is from a specific store part of the money raised from investors or some of the money they borrow is devoted to loans. Banks get their money from depositors.

So eventually it is either a bank or an investor.

2007-12-17 05:48:09 · answer #2 · answered by Rush is a band 7 · 0⤊ 0⤋