Auto Loans News

man crushed by money
Oct, 3, 2012
In Kansas City, Mo, a $2,500 car title loan may end up costing a man more than $20,000. This car title loan allegedly had interest rates akin to a payday loan in the triple digits. James Miller, a man battling stage four liver cancer, took out a car title loan in order to help a family member but the loan carried an annual percentage rate (APR) of 276 percent. After he put his 2012 Dodge Avenger up as collateral, Miller described his decision to Fox local news as having been made, “Foolishly. Foolishly. Foolishly.”
stuck in jail
Sep, 28, 2012
Lydia Cladek, a 67-year-old woman from St. Augustine, Fla., was sentenced on Aug 21 to 30 years and four months in a federal prison for conspiracy to commit mail and wire fraud, according to First Coast News. Additionally, Cladek must pay $34 million in restitution for her crimes.
no car sign
Sep, 19, 2012
The amount of America’s young people who purchase cars—and borrow auto loans or auto refinance loans—has dramatically decreased. People aged 18-34 purchased 30 percent fewer cars over the last five years, according to Edmunds. Since young people were hardest hit by the recession, many experts blame this decrease on the economy. However, others feel the decrease may be a part of a larger demographic-related trend.
Declining graph
Sep, 14, 2012
Auto loan rates fell between late August and mid September, according to Bankrate. 60-month auto loan rates for new cars fell from 4.38 percent to 4.37 percent. 48-month new car loan averages remained flat from the final week of August to 4.23 percent. While these declines may seem minimal, they are simply a continuation of a much larger decline that’s been occurring since the end of July, when new car loan rates were at 4.47 percent. Fortunately for buyers, this auto loan rate downward trend shows few signs of slowing or stopping.
Virginia state flag center
Sep, 4, 2012
Thanks to a law change in 2011, Virginia is the current national magnet for car title loans according to the Richmond Times-Dispatch. Nearby residents of Washington D.C. and Maryland flock to Virginia in order to escape their own locations that have capped interest rates making car title lending all but extinct. In 2010, Sen. Richard Saslaw, along with other Virginia lawmakers, created regulations for car title lenders. That regulation was restrictive, yet still allowed the industry to conduct business within the state.
Monk riding motorbike in Thailand
Aug, 15, 2012
Innovation is transforming motorcycle lending in the Kingdom of Thailand. WorldLese, the motorcycle leasing division of CIMB Bank Thai (CIMBT) has deployed the country’s first “do-it-yourself” application machines for consumer loans. These Self Apply Machine for Motorcycle Loan (SAMM) devices service customers that are seeking motorcycle loans for both new and used motor vehicles.
Nissan car front
Aug, 2, 2012
Nissan sold $1.4 billion of bonds tied to car loans at record low rates in July as part of ongoing efforts by the Federal Reserve to spur economic growth and reduce borrowing costs. According to Citigroup, which managed the transaction, these top-rated securities had an average life of 1.49 years with a 0.481 percent yield. This was the lowest recorded financing rate offered by an auto company in the asset-backed market.
Marine saluting flag
Jul, 30, 2012
Leaders within the Department of Defense are reviewing the possibility of expanding the legal interpretation of the Military Lending Act. The Act placed a 36 percent interest rate cap on short-term loans made to military personnel and their families. The Act also limited credit that could be offered to military personnel that was not secured by vehicles—unlike car title loans which are backed by vehicle-based collateral.
Car scammer
Jul, 26, 2012
Eric A. Richardson, a former Cedar Hills Mayor has pleaded guilty to felony bank fraud when he falsified a car loan financing application in a scheme to skim equity. This comes only months after he was charged with running a Ponzi scheme by the U.S. Commodity Futures Trading Commission in May of this year. The U.S. District Court for Utah alleges that Richardson defrauded HeritageWest Credit Union based in Tooele, Utah. Richardson had resigned only one month ago in June. Three days later he was charged with bank fraud by federal prosecutors.
LIBOR on coins
Jul, 11, 2012
Auto loan borrowers should feel free to send a thank you letter to the criminal bankers involved in the $800 trillion LIBOR scandal for creating artificially low car loan rates over the last seven years. The recent LIBOR scandal derived from several London banks that conspired to manipulate the LIBOR. LIBOR, the London Interbank Offered Rate, is the average interest rate that London banks charge one another for borrowing.