Apparently 7 million autos purchased by subprime auto buyers. Estimated default rate is 30% for subprime auto borrowers vs. 7% for prime auto borrowers.
So many subprime borrowers are installing these lojack devices onto the car. No payment, no car movement or annoying noise, etc.
Companies selling such devices include:
So as credit disappears, and investors won't buy the auto securities sold (yup, those loans are collateralized and sold too folks) the auto industry will further contract to "true demand" as I call it.
I think this (auto sales) are going to be a nightmare/HUGE mess this year