Car loan sub-prime collapse?

[Behemoth]

I've never understood why anyone would want to use finance to buy an asset that depreciates like a lead balloon as soon as the keys are handed over. And I only recently realised how frighteningly common it is. Is it a smoking gun for the next sub-prime collapse?

http://www.schroders.com/en/uk/the-value-perspecti...

Presumably if it all blows up, all of a sudden there'll be a hell of a lot of cheap nearly new repossessed cars out there and a rush on £200 sheds & mopeds. And very shaky ground for any already-weak car manufacturers.

Edited by Behemoth on Friday 10th February 20:59

[Mammasaid]

discussed here

http://www.pistonheads.com/gassing/topic.asp?h=0&a...

[Behemoth]

Mammasaid said:

discussed here

http://www.pistonheads.com/gassing/topic.asp?h=0&a...

Thanks. I thought the financial perspective of this interesting, so it'd be good to hear some expert opinions rather than the political rants you get in that section.