We’ve reached the end of the road for turning the purchase of a car, SUV or truck into affordable monthly payments.
The popularity of long loans for new vehicle buyers has been on the rise for years. What’s new is that buyers of used cars are getting sucked in as well. Few parts of the economy were hit harder by the pandemic than the auto industry. Production of vehicles was slowed by supply-chain issues, which has led to big price hikes and people being told in some cases that the car they want won’t be available until next year. J.D. Power pegs the average new vehicle transaction price in July at close to $44,000, up from about $41,500 a year earlier.
What’s changed is that these long-term loans are producing such high payments. At a time of high inflation and rising rates on all kinds of debt, vehicle buyers are facing monthly financing costs similar to the average mortgage payment 20 years ago.
Just wait until people realize how much it will cost them for an electric vehicle.
Car loans should be criminal just like payday loan companies. Loans are what drive up prices and the only winner is the loan company. If loans weren’t so readily available then car companies would not be able to sell their vehicles at obscene prices. It’s the same as home sales.
Justin Trudeau and your government are working to lessen the stress load burdening Canadians. So who wants to spend scarce money on a car which we’re going to ban in 2035. Smile people, soon you’ll own nothing and like it.🇺🇦🇺🇦
If there are people who agree to seven year terms and eight hundred dollar payments, then that’s what will be offered. It’s a free market.
And on top of it, still have to pay record tax to subsidize the EV market that can’t sustain itself. So wealthy urban ppl can get a discounted piece of crap to virtue signal about. And liberals can cash in on schemes.
😯