Irvine-based mortgage lender New Century Financial Corp. said it made more loans in the second quarter than a year earlier and boosted what it charges borrowers.
New Century, which makes loans to borrowers with imperfect credit, said it did $16.2 billion in loans in the second quarter, up 21% from a year earlier.
In June, New Century’s average subprime loan was at interest of 8.4%, up about 15 basis points in the past weeks, according to the company.
New Century said it is going after subprime borrowers with better credit scores.
Cost cutting and other moves have boosted profit margins on subprime loans, the company said.
