Ally Financial Reports Strong Earnings as Auto Loans Perform Well

Brent Nyitray, CFA, The Motley Fool
·3-min read
Ally Financial Reports Strong Earnings as Auto Loans Perform Well

The early days of the COVID-19 pandemic were rough on most financial companies, especially banks and real estate investment trusts. Banks were forced to take huge provisions for potential credit losses under the new Current Expected Credit Loss (CECL) methodology, which then ran into COVID-19 provisions. Ally Financial (NYSE: ALLY) is a good example.