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25 Facts why we’re facing an auto loan subprime bubble

Are we facing an auto loan subprime bubble?

In part one of this blog, we discussed why America may be facing the biggest subprime bubble since the mortgage meltdown in 2008, but this time the shaky loans in question are to finance automobiles, not houses.

Will this lead to mass defaults and greater economic problems like what happened with the mortgage market? We outlined 15 facts about our auto loans and the possibility of another subprime bubble.

Here are the next 10 ...

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US-facing-auto-loan-subprime-bubble-pt-1

Is America facing a subprime bubble with our auto loans?

Are we facing an auto loan subprime bubble?

America may be facing the biggest subprime bubble since the mortgage meltdown in 2008, but this time the shaky loans in question are to finance automobiles, not houses. The trends are hard to ignore:

Americans are buying more new and big cars, and financing them at record rates.

While some of that can be attributed to an improved economy, there are reasons for concern. Instead of putting money in savings or paying down ...

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Lease vs. buy? 10 Things to consider before purchasing your next car.

So you’re planning on buying a new car – an exciting proposition. But before you even start picking out the make, model, paint color, and start pre-setting your radio stations, you have an important decisions to make: to lease or to buy. The good news is that there isn’t one “right” answer, but what’s best depends on a variety of factors and preferences.

Here 10 considerations about leasing vs. buying you should familiarize yourself with before ever stepping foot into a ...

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Can you be denied for a loan or mortgage because of your Facebook friends?

If a recent patent is any indicator, then that you very well could be denied for a loan on a credit card, a car, or even a mortgage because of who you’re friends with on Facebook.

This summer, the U.S. Patent office granted an updated patent on technology that combs social media for evidence of a person’s closest network of friends and then relays that information to potential creditors, who can make lending decisions based on the friends’ perceived financial stability.

While ...

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To get the extended warranty or not, that is the question.

Many retailers now offer extended service plans or warranties for an additional cost, covering you in the event that your laptop or phone or major appliances goes kaput sooner or later. But is it worth the extra cost? Statistically, the answer is probably “no” for most items.

“From a purely economic standpoint,” says Rajiv Sinha, marketing professor at Arizona State University, “It usually doesn’t make sense to buy an extended warranty.”

But there are times and circumstances where you may feel better protecting ...

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