Posted on 11/14/2019 2:09:46 PM PST by LesbianThespianGymnasticMidget
Bad debts are written off.
They should be... but sometimes the creditors are bailed out. See relatively recent history.
I’ve been waiting to pick up a lightly used SUV cheap.
If people can’t afford to make payments on their subprime loan, no collection agency is going to go after them.
Not worth it. You don’t loan money to people who are poor credit risks.
Perhaps if the stopped giving loans to delinquents, there would be fewer delinquent loans
Do some people buy or lease cars they really can’t afford? Is that part of the problem? How do so many afford the Lexus and Lincoln Navigator vehicles, which seem to be all over the place, at least in my area?
How much of that is from loans to “protected groups” who cannot be turned down lest the lender face discrimination lawsuits?
Well, you do if you can charge 25% interest. For a car loan.
All you have to do is observe what’s parked at Walmart to know how bad this problem is.
How the lenders are making money is baffling to me.
What’s the point to this doom and gloom article?
Should the government step in and regulate auto industry interest rates? How about debt forgiveness like socialists want for student loans?
The real problem today in the auto industry is NOT subprime loans.
It’s the fact that a new car today has an average sale price of over 35,000 bucks. Even middle class 700 plus FICO scoring Americans who could buy these cars - Aren’t.
“Not worth it. You don’t loan money to people who are poor credit risks“
You do if the government backs them. There are limitless tax payers
How do so many afford
they cant
Yup. I don’t shed tears for creditors who approve bad loans. If they want to lose the shirt off their backs, that’s their business.
These lenders are running a racket that literally leaves them broke the minute money leaves the house.
Nobody should be in the subprime loan market in the first place.
You’re talking about government-guaranteed loans. Not the subprime market.
> I’ve been waiting to pick up a lightly used SUV cheap.
Yep, I read the article as an opportunity and a reminder.
They’re still making a ####ing fortune and who are they kidding??
The interest rates are astronomical on the MAJORITY that are paying off their loan.
The loss is the DIFFERENCE between car value and sale at auction, not a TOTAL loss like credit cards.
Cry me a ####ing river.
No bailouts...
Save cash. Pay cash. Save cash.
But its a Golden Age for the repo business.
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