Car Repossessions Up 78% In 3 Months … Car Chases Will Start Rising Again In 2014

The New York Times examined more than 100 bankruptcy court cases, dozens of civil lawsuits against lenders and hundreds of loan documents and found that subprime auto loans can come with interest rates that can exceed 23 percent.

The loans were typically at least twice the size of the value of the used cars purchased, including dozens of battered vehicles with mechanical defects hidden from borrowers. Such loans can thrust already vulnerable borrowers further into debt, even propelling some into bankruptcy, according to the court records, as well as interviews with borrowers and lawyers in 19 states.

In another sign of trouble ahead, repossessions, while still relatively low, increased nearly 78 percent to an estimated 388,000 cars in the first three months of the year from the same period a year earlier, according to the latest data provided by Experian. The number of borrowers who are more than 60 days late on their car payments also jumped in 22 states during that period.

Expect the volume of Car Chases … also called vehicle delinquency interviews to start increasing in 2014 as vehicle subprime loans continue to increase. The market value for a Car Chase inspection is about $25 – $30 when you stay away from middleman inspectors. Check out the National Field Service Directory at www.sofistore.com.