Tricolor (company)

Tricolor is an American sub-prime auto lender and used car retailer that collapsed amid fraud allegations in September 2025.[1]

Tricolor was founded in Dallas, Texas in 2007, and Daniel Chu is co-founder, majority owner and CEO.[2]

In September 2025, Tricolor filed for Chapter 7 bankruptcy.[3]

In October 2025, JP Morgan revealed that it had taken a $170 million loss due to Tricolor.[1]

On August 18, 2026, the Securities and Exchange Commission charged Daniel Chu (former CEO), Jerome Kollar (former CFO), and Ameryn Seibold (former Senior Director of Finance) for their roles in an alleged multi-year scheme to defraud investors by double pledging hundreds of millions of dollars of subprime auto loans to multiple asset-backed securities offerings and lenders.[4]

References

  1. 1 2 Makortoff, Kalyeena (October 18, 2025). "What is private credit, and should we be worried by the collapse of US firms?". The Guardian. ISSN 0261-3077. Retrieved October 21, 2025.
  2. ↑ Adelman, Jacob. "U.S. Banks Missed Warning Signs on Tricolor. Now, Their Losses Are Adding Up". barrons. Retrieved October 21, 2025.
  3. ↑ "Dallas-Based Tricolor Auto Files For Chapter 7 Bankruptcy". www.carpro.com. Retrieved October 21, 2025.
  4. ↑ "SEC Charges Former Executives With Fraud in Connection With $1.9 Billion Collapse of Subprime Auto Lender Tricolor". U.S. Securities and Exchange Commission. Retrieved August 23, 2026.
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