Remember the subprime mortgage crisis that ultimately resulted in the global financial meltdown of 2008? Bad loans, sketchy financial instruments, and defaults from high-risk borrowers plunged the world into the worst economic downturn since The Great Depression. Lessons were learned and measures have been taken to make sure something like that never happens again – right?
So you’d think, but there’s a reason why we’re bringing up the GFC and it most certainly isn’t good. A Reuters report recently brought some chilling details to light about the current state and trajectory of auto loans in America. Many parallels can be drawn between where said market stands right now and the factors leading to the housing crash nearly two decades ago, which is rather concerning to say the least.
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