PrimaLend Capital Partners files for Chapter 11 bankruptcy protection

PrimaLend Capital Partners filed for Chapter 11 bankruptcy protection on Wednesday, October 22, 2025, in a Texas court. The company reported assets and liabilities of less than $500 million.

As a subprime lender, PrimaLend provides loans to borrowers with weaker credit histories or lower credit scores, typically at higher interest rates to mitigate the risk of default. Last month, Bloomberg News reported that PrimaLend"s creditors were considering bankruptcy proceedings after the company had gone unpaid for several months.

This filing follows a similar situation with Tricolor, a company that sold cars and provided auto loans primarily to low-income Hispanic communities in the Southwestern United States, which also filed for bankruptcy protection in September.

For more on related coverage, see recent developments in the economy.

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