Consumer Portfolio Services, Inc. Opens New $75 Million Warehouse Credit Line

    IRVINE, Calif.--Jan. 14, 2003--Consumer Portfolio Services, Inc. today announced that it has opened a new $75 million revolving warehouse credit facility. The new warehouse line is a structured finance facility with credit enhancement provided by Financial Security Assurance Inc.
    The warehouse credit facility will enable Consumer Portfolio Services to borrow up to $75 million to purchase and hold automotive receivables, pending their ultimate disposition in future securitization transactions or otherwise.
    "This new warehouse line enhances our financial position and allows us to continue our strategy to grow methodically our receivables portfolio," said Charles E. Bradley, Jr., president and chief executive officer of Consumer Portfolio Services. "With this credit line, we are now even better positioned to take advantage of the current opportunities in the consumer automotive finance industry."

    About Consumer Portfolio Services, Inc.
    Consumer Portfolio Services, Inc. is a consumer finance company that specializes in purchasing, selling and servicing retail automobile installment sale contracts originated by automobile dealers located throughout the United States. The Company is currently active in 39 states. Through its purchase of contracts, the Company provides indirect financing to car dealer customers with limited credit histories or past credit problems, who generally would not be expected to qualify for financing provided by banks or by automobile manufacturers' captive finance companies.

    This news release contains "forward-looking information" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking information includes the anticipation that the company will borrow under its new warehouse credit facility, repay amounts so drawn by securitization of receivables placed into such facility, and grow its receivables portfolio. There can be no assurance that securitization transactions will be effected to repay warehouse borrowings, nor that the Company's receivables portfolio will grow. Some of the factors that may adversely affect those possibilities are as follows: As to the warehouse credit facility, it may be impracticable to repay warehouse indebtedness and thus to revolve credit availability under such facility due to the terms available in the future in the market for securitizations, which terms may be affected by (i) prevailing interest rates, (ii) credit performance of receivables originated by Consumer Portfolio Services and held within or without such credit facility, (iii) credit performance of automotive receivables originated by other firms, (iv) credit evaluation policies of rating agencies, and (v) competitive conditions in the market for financial guaranty insurance. As to growth in the receivables portfolio, the Company's ability to acquire receivables at a rate sufficient to result in portfolio growth may be affected by (i) limits on the Company's capital resources, which in turn depend in part on the performance of existing assets, and on the terms available in the future in the market for securitizations, and (ii) competition in the acquisition of receivables.