Westlake Reaches AI Deal to Expand Auto-Lending Business (1)

Westlake Financial is working with Pagaya Technologies Ltd. to make auto loans using artificial intelligence, targeting a void left by some lenders that have been pulling back from the business.

In addition to AI, Westlake will leverage Pagaya’s relationships with asset managers and other partners to finance the loans, which helps it avoid weighing down its own balance sheet. Pagaya has similar relationships with auto lenders including Ally Financial Inc., Flagship Credit Acceptance and Foursight Capital.

“They are becoming more and more open and happy with these partnerships that don’t utilize their balance sheets,” Pagaya co-founder and Chief Executive ...