Monday, July 30, 2012

Predatory Lending


According to this article http://news.investors.com/article/620090/201207271807/gm-risky-subprime-auto-loans-fuel-sales.htm most of the vehicle loans made by GM Finance are being made to buyers that have a credit score of less than 660, the break point where loans fall into the subprime category.   

Isn’t that (subprime loans) a large part of what caused the current financial problem and isn’t that what we wanted to stop doing?

GM spokesperson Jim Cain offered the following statement "Our experience, however, is that with proper management they are very good risks."

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