Subprime lenders are surprised when their defaults go up?
Subprime lenders are surprised when their defaults go up?
Yeah, well cars also cost like 50%+ more than they should easily. So there is that too.
Source: https://www.theguardian.com/business/2025/oct/17/us-car-repossessions-economy
From the post:
>Alarm bells are ringing on Wall Street. The recent collapses of Tricolor, a used car seller and sub-prime auto lender, and First Brands, an auto parts supplier, have put the finance industry on edge, almost two decades after problems in the sub-prime mortgage lending market set the stage for the global financial crisis. “When you see one cockroach, there are probably more,” Jamie Dimon, the JPMorgan Chase CEO, ominously cautioned analysts this week, after the US’s largest bank disclosed a $170m charge tied to Tricolor’s bankruptcy. “Everyone should be forewarned on this one.” As the car lending market shows signs of strain, business around repossessions is booming. “Right now, we’re overwhelmed with work,” George Badeen, who runs Midwest Recovery and Adjustment in Detroit, Michigan, said.
Yeah, well cars also cost like 50%+ more than they should easily. So there is that too.
Source: https://www.theguardian.com/business/2025/oct/17/us-car-repossessions-economy
From the post:
>>Alarm bells are ringing on Wall Street. The recent collapses of Tricolor, a used car seller and sub-prime auto lender, and First Brands, an auto parts supplier, have put the finance industry on edge, almost two decades after problems in the sub-prime mortgage lending market set the stage for the global financial crisis.
“When you see one cockroach, there are probably more,” Jamie Dimon, the JPMorgan Chase CEO, ominously cautioned analysts this week, after the US’s largest bank disclosed a $170m charge tied to Tricolor’s bankruptcy. “Everyone should be forewarned on this one.”
As the car lending market shows signs of strain, business around repossessions is booming. “Right now, we’re overwhelmed with work,” George Badeen, who runs Midwest Recovery and Adjustment in Detroit, Michigan, said.