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Moon phases


Car loans securitisation

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Car loans securitisation Empty Car loans securitisation

Post by Waffle Mon Sep 04, 2017 11:31 pm

Its actually quite a bad article as per usual from the media, only tells a small part warped of the tale.....

It's a terrifying prospect to think that car loans are being securitised in the way mortgages were in the run-up to the crash.

The value of car loans in the UK almost trebled to £31.6 billion between 2009 and 2016 according to the Leasing and Financing Association.

Some of the car-leasing loans have been packaged into investments called "asset-backed securities" and sold on to investors such as pension funds.

Falls in the value of this type of investment were a major reason behind the 2008 financial crisis. However this time the investments are backed up by cars instead of houses.

http://www.telegraph.co.uk/news/2017/04/14/drivers-face-car-loan-crackdown-avoid-new-financial-crisis/

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Car loans securitisation Empty Re: Car loans securitisation

Post by Ausk Tue Sep 05, 2017 9:20 am

Perhaps when the memory of this coming crash fades and memory of it become dim, they might start securitising cereal packets in readiness for the next crash after that.

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