Comments on: Credit Crunch Dinging Dealers

By: Kevin Kluttz

Kevin Kluttz — Tue, 19 Feb 2008 03:26:04 +0000

Thank you, rtz. Glad you’re “down here” in the REAL WORLD with the rest of us!!! That was refreshing.

(And I do NOT in any way mean that in a derogatory fashion. We are in practically the same sinking boat…the middle class.)
And I don’t think we have strayed too far from the subject. Sorry if we have, Mr. Farago….we still love you!!!!!

By: rtz

rtz — Tue, 19 Feb 2008 02:47:33 +0000

I’ve got an $18/hr Government job and good credit(805 FICO). The bank I’ve been with my entire life recently would only pre approve me for an $80,000 home loan. What happened to the days when they’d literally loan any amount to anyone?

I told them to keep it as I couldn’t buy anything decent with that pittance of an amount. Who needs that money more: me or them? I guess them. Pretty sad when a bank is hard up for eighty grand.

By: Kevin Kluttz

Kevin Kluttz — Tue, 19 Feb 2008 02:04:18 +0000

There IS no positive side when you have a regular job and a mortgage (sub-prime, at that), a car payment (at least it’s an Accord), and driving is one of your (my) favorite things. I don’t mean to be the downer, but most of us out here live in the real world. With real problems.

By: NickR

NickR — Mon, 18 Feb 2008 17:31:53 +0000

he’s converting his car lot to an impound lot so that he can handle all the new repo business with the banks.

Probably the single best strategy in the auto market today.

Good luck to you in your enterprise Steven.

I agree with the poster above – if I was in the market for a new or slightly used car now, I’d be ruthless. (FYI, I recently saw a 2006 Ford Five Hundred with 12,000 miles marked down to $11k…now that’s depreciation!)

By: EngineeringTheAtom

EngineeringTheAtom — Mon, 18 Feb 2008 17:17:55 +0000

But on the positive side: For those people who have good credit and are in the market for a new car, this is going to be a great year for those consumers.

Personally, I’m looking forward to my new car but this can’t be good for the domestics that had a pretty bad 2007 and need strong sales to be able to implement their recovery plans.

By: Steven Lang

Steven Lang — Mon, 18 Feb 2008 16:36:11 +0000

I have a good friend of mine who hasn’t sold a single car in 2008. In fact, he’s converting his car lot to an impound lot so that he can handle all the new repo business with the banks.

Back in October I actually sold more used cars than many of the full-time car dealerships (new and used) in the area. Out of those 16 cars that I sold, 15 were $3500 or less. The other one just came over at $3900.

Since then my sales have been off about 50%. Then again, this isn’t my primary work and I’ve always done cash deals only.

By: Sherman Lin

Sherman Lin — Mon, 18 Feb 2008 16:20:46 +0000

The fact that for the last few years banks even lend large amounts of money to and even pursued a category labeled “sub prime” speaks volumes of why we are in the mess we are in.

I just paid off my 2006 Xb and I don’t plan on buying another car for 8 years, but thats just the way I have always been with my money.