Quote:
Originally Posted by blankall
I think that had a lot to do with peolpe defaulting on loans and payments. In the States it got so bad, it was probably better for the companies to have people pay them upfront than to have to go through the collections repossession process.
|
Nope, it was directly because of losses the manufacturers were taking on resale values. They were predicting residuals that were way out to lunch (too high), and were being forced to take the depreciation hit when customers were giving the cars back at the end of term. Customers were mopping the floor with the Manufacturers. They would have lead you to believe otherwise, because admitting this problem existed, meant admitting their cars had terrible resale value, which is the ultimate mark of shame for a brand.