The Bank Slate


MVB in W.Va. sells large batch of subprime auto loans

MVB Financial in Fairmont, W.Va., sold a large portion of its subprime auto loans during the second quarter.

The $3.5 billion-asset company said in a press release that it sold $20.4 million of subprime loans, allowing it to release the loan-loss reserve for those loans. MVB still has $27 million of subprime auto loans on its balance sheet.

MVB had a loan-loss release of $4.2 million in the second quarter.

The company agreed in May to sell its interests in Flexia Payments, incurring a $1.1 million loss. MVB bought an 80% stake in the payments company in January 2021 for $2.5 million.

Net income more than doubled from a year earlier, to $8.1 million, largely reflecting the reserve release.

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