Talk About Cars|A Discussion About Cars, Maintenance and Car Buying
Dec
21
Filed Under (Uncategorized) by Car Specialist
hh asked:
I still see plenty of cars on the road too many to cause major traffic backups. Where auto loans going to unqualified customers who became jobless and money stripped. Is it the cost of gasoline? What happened?
HAZEL
I still see plenty of cars on the road too many to cause major traffic backups. Where auto loans going to unqualified customers who became jobless and money stripped. Is it the cost of gasoline? What happened?
HAZEL
Comments
mizzouswm on 21 December, 2008 at 11:55 am #
close to your guess. automakers (especially in the US) have concentrated for so long in producing expensive, gas guzzling SUV’s. now that gas prices are up, these cars are no longer desirable, and the car companies are seeing huge debts because of it. another reason is based on the loan industry. for a long time, the auto industry was able to give loan programs that introduced 0% down and 0% financing (same sorta thing that happened to the housing industry). they are now feeling those results as well in a giant snowball effect.
think about it, how many “new” cars do you see among the plenty you see?