Velocity Asset Management Announces a 134% Increase in May Year-Over-Year Collections

Velocity Asset Management, Inc., announced today that its wholly owned subsidiary, Velocity Investments, LLC (“Velocity Investments”), a consumer receivables asset management and liquidation company, posted a 134% increase in May year-over-year collections from its portfolios of non-performing consumer receivables in the month ended May 31, 2006. For the month ended May 2006, Velocity Investments posted gross collections of $878,726, a 134% increase as compared to collections of $375,455 in the month ending May 31, 2005. On May 31, 2006, the aggregate initial outstanding principal amount of Velocity Investments’ consumer receivables under management was approximately $160 million, an increase of 171% as compared to approximately $59 million as of May 31, 2005.

The increase in both collections and aggregate initial outstanding principal amount of consumer receivables under management is a result of Velocity Investments’ partial deployment of the senior credit facility established in January 2005 with Wells Fargo Foothill, Inc., as amended in February 2006.