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Shining a light on PE ownership.

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ON

OneMain Holdings Inc.

consumer finance
PE-OWNED

What PE Will Likely Do

Predictions

Increased fees and interest rates for consumer loans and financial services offered by OneMain Holdings

MODERATEBased on: TPG's track record of debt loading, cost-cutting, and service quality reduction in previous acquisitions

Reduction in the availability and variety of loan products and financial services provided to customers

MODERATEBased on: The consumer finance industry's high susceptibility to these common private equity tactics, as indicated by the industry playbook

Deterioration in the quality of customer service and responsiveness to consumer inquiries and issues

MODERATEBased on: The lack of any recorded failures for TPG, suggesting they are able to effectively implement their strategies

Expected Timeline

Phases
0-6 monthsCompleted

“0 to 6 months months”

Announcements about 'streamlining operations' and 'improving efficiency' for OneMain Holdings

6-12 monthsYOU ARE HERE

“6 to 12 months months”

Initial rounds of staff reductions and branch closures at OneMain Holdings locations

12-24 months

“12 to 24 months months”

Customers begin to experience longer wait times, less personalized service, and fewer loan options from OneMain Holdings

24-48 months

“24 to 48 months months”

Potential reduction in loan approval rates and increase in fees/interest rates as OneMain Holdings focuses on cost-cutting

48-60 months

“48 to 60 months months”

Possibility of OneMain Holdings being restructured, acquired by another firm, or filing for bankruptcy if cost-cutting measures fail to improve profitability

What You Can Do

Take Action

Actions

  • Carefully review the terms and conditions of any loan or financial services offered by OneMain Holdings, as fees and interest rates may increase

  • Be prepared for potential changes in the availability and variety of loan products, as well as a decline in customer service quality

  • Consider alternative lenders and financial service providers if the quality of service from OneMain Holdings becomes unacceptable

Alternatives

Research independent alternativesSAFE

Look for family-owned or employee-owned businesses

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"OneMain Holdings Inc. is now PE-owned. Here's what that means for you."