Comments on: GMAC: 0% Financing for Subprime FICO Scores

By: jonpublic

jonpublic — Thu, 01 Jan 2009 17:12:41 +0000

@mannwich

My friends who bought cars recently all were jacked on interest rates despite good credit. I’m sure they have tougher restrictions than the mortgage companies.

By: ZackAttack

ZackAttack — Thu, 01 Jan 2009 16:26:18 +0000

Wow, and now we’re going to bailout their suppliers as well:

http://www.bloomberg.com/apps/news?pid=20601087&sid=aZm0zupPvbB8&refer=home

I guess it’s a rhetorical question to ask about the exit strategy for all this.

By: donna

donna — Thu, 01 Jan 2009 02:46:05 +0000

My mortgage is with GMAC. I feel like calling and demanding a lower rate, or else I refi with someone else. I gots lots of equity still, too. ;^)

By: Mark E Hoffer

Mark E Hoffer — Wed, 31 Dec 2008 23:19:01 +0000

Jeff,

you’d be bettter off buying an existing ‘Repo’ outfit, getting through the ‘vetting’ process–pointed at a ‘new’ firm–of your customers, would be a lengthy ordeal, all by itself..

but, remember: Kevlar can be fashioned into snappy vests, but it’s hard to see through..

By: Mannwich

Mannwich — Wed, 31 Dec 2008 23:07:50 +0000

Like I said yesterday, the Repo Man is a happy man these days. Wonder if it’s time to start a Repo franchise?

By: KidDynamite

KidDynamite — Wed, 31 Dec 2008 22:58:27 +0000

i blogged about this exact topic yesterday:

http://fridayinvegas.blogspot.com/2008/12/gmac-theyll-make-up-for-it-in-volume.html

Karl Denninger also had a good post on it:

http://market-ticker.denninger.net/archives/704-Regulatory-Fraud-by-Idiocy,-Example-9463.html

By: Mannwich

Mannwich — Wed, 31 Dec 2008 22:39:55 +0000

@jonpublic: Good point but if the people/entities they’re loaning the money to aren’t able to pay it back (hence, their lousy FICO score), what’s the point? That’s the whole issue with this – the people who qualify for credit don’t want it and the people who haven’t been able to get credit as of late, probably shouldn’t be getting it based on their inability to pay it back. That’s partly what got us into this mess in the first place, is it not?

By: jonpublic

jonpublic — Wed, 31 Dec 2008 22:37:15 +0000

I would like to point out that they are doing what the government wants. Loaning the money out. Getting financing going. Wasn’t that the whole point of the bailout?

Has any of the other financial firms said what they are doing with their share?

By: Mark E Hoffer

Mark E Hoffer — Wed, 31 Dec 2008 22:14:15 +0000

AGG,

that’s a good art. Pam Martens is an intelligent person, her stuff is cogent, and reads well, thereby.

Hope ‘009 finds us, all, Well & Wise, Hearty & Hale..

By: AGG

AGG — Wed, 31 Dec 2008 21:44:10 +0000

To those who like to look at strange coincidences.
Steve Barry, this means you.
The intra-day chart for the Dow looks like a mini version of the Dow from 1996 until 2008. And note the last part. I don’t think there will be a rebound in 2009. The manipulations in 2008 have kept the market much higher than it should be. So look for 3,500 to 4,000 before the 1930 type rebound. That may not happen until 2010.