Oddbean new post about login | logout The 90-day auto delinquency rate is higher than the peak reached in 2009. don't say nobody warned you. https://m.primal.net/Mbiq.png
The “Credit crunch” spring is building tension in the way the housing bubble was in 06-07. 👊🏻🧡🍻
Brrrrrrrrrr
Money printer solves this.
Maybe used cars will get cheaper
I'm hoping. I have a teenager about to get his license.
Doubtful. Average new car transaction exceeded 9mos earnings recently. Volume is down for that reason. Used cars have stabilized as the only alternative. Some models (like Prius) are good values because of undeserved "low T" image. Hyundai, Kia, and Nissan are cheap because they're shite.
And the average balance is 3x...
The story of the auto lenders leading to a great financial crash has been told for at least 2 years now. Then again, the story of NINJA loans and mortgages were told for about the same period leading up to GFC of '08. Ray and Zack on YouTube have been ringing alarm bells beautifully and we're getting people tired of waiting for better cars and rates. The number of people deeply upside-down in their financing was heralded as a leading cause for a recession (global). Bailouts of major manufacturers imminent (looking at you, Germany, where VW is rumoured to be planning the closure of GERMAN plants). Yeah, the auto industry is one to watch.
