OneMain Holdings (NYSE: OMF) is in the business of providing personal loans, mostly to borrowers with less-than-stellar credit ratings. It sounds like a risky business - the kind that might employ Rocky Balboa... before he got lucky against Apollo Creed. Twice. Whatever OneMain is doing to write and collect on its loans is working, as net interest income - the difference between OneMain's borrowing costs and what it makes from lending - has been steadily rising. Rising interest rates, low unemployment and rising wages are a perfect combination for OneMain's borrowers to be able to pay back their loans and for the company to generate more profits and cash flow... |
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