2014年经济学人 美国汽车贷款 因果循环

Car loans in America

Bad carma

Borrowers, not lenders, have more to fear from the latest subprime lending boom

For whom?

WHAT would you rather lose: your house or your car? In America, where a car is usually essential to get to work, many borrowers would sooner lose their house, which explains why in the years after the crisis, mortgages were more likely to go bad than car loans. It also explains why auto¹ loans, unlike mortgages, are booming. New loans reached 371 billion in the year to June, up 7.4% from the previous year and 64% since 2009. Subprime auto loans, made to the riskiest² borrowers, have grown even faster, by 93% since 2009.

This growth is due to rising car sales and ample credit as banks, finance companies and carmakers' financing arms compete to lend to consumers, either directly or via car dealers⁴. Those loans are then packaged into securities for yield-hungry investors⁵. Experian, a credit-scoring agency, reckons 85% of new and 54% of used cars are now bought with loans, compared to 79% and 52% in 2007.

As volumes have soared, underwriting standards have slipped, with the average subprime loan rising to 115% of the car's value this year from 112% in 2011, according to Standard & Poor's, a ratings agency. The average life of a loan has grown too, to more than five years. Delinquencies, naturally, are rising: more than 3% of loans are at least 60 days in arrears⁶, up from 2% in 2011.

There is much talk of a new subprime bubble, akin⁷ to the cavalier mortgage lending that helped spark the financial crisis. The Department of Justice has asked two big car-loan companies, GM Financial, a unit of General Motors, and Santander Consumer, controlled by Spain's Santander Group, for details about their subprime underwriting and securitisation.

Yet the two markets are fundamentally different. Start with size. At 905 billion, total auto loans are barely a tenth of total mortgage debt. Subprime is also more established in auto lending, accounting⁸ for 20% to 30% of total loans since 2000.

The mortgage bubble fed on the delusion⁹ of both borrowers and lenders that house prices could only rise and thus a loan could always be repaid. In contrast, lenders assume cars only depreciate¹⁰, and charge accordingly: annual subprime interest rates average 14%, and 25% is not uncommon¹¹. Cars are also easier to repossess and resell.

So while losses are likely to mount, lenders do not face a mortal threat. It is borrowers who have more reason to worry. A car loan is a complex transaction that hinges not just on the price of a car, but also on its trade-in value, extras such an extended guarantee or rust¹² proofing, and most important, the interest rate. A dealer³ typically selects a quote from a bank or finance company via his computer and marks it up. The higher the markup¹³, the greater the payment he receives from the lender.

Consumer advocates fret¹⁴ that this process leaves the unsophisticated—as subprime customers tend to be—at the mercy of unscrupulous dealers. They may be charged a higher rate despite qualifying for a lower one, sold unneeded or overpriced extras, or even told, a few days after they drive off with the car, that their loan was turned down and they must pay a higher rate. “None of the prices are fixed¹⁵, and each unfixed price is a potentially abusive negotiating point,” says Tom Domonoske, a lawyer who represents aggrieved¹⁶ buyers. Consumer advocates would like markups replaced with a flat fee.

The Consumer Financial Protection Bureau (CFPB), a new watchdog agency set up after the financial crisis, is also worried that lots of borrowers get a raw deal. It has told banks and finance companies that it holds them responsible for the behaviour of the dealers they work with, and that it considers dealers' discretion¹⁷ over markups an invitation to discrimination. It has already got one big finance firm to pay 98m to settle a claim that it was charging minority borrowers higher interest rates and is investigating others.

Dealers are fuming¹⁸ at the CFPB's muscle-flexing. Competition, they say, ensures that customers get the best rate; dealers need discretion to compete. By raising costs, stricter regulation may actually reduce the amount of credit available.

1 auto   

n.(=automobile)(口语)汽车

参考例句：

• Don't park your auto here.别把你的汽车停在这儿。
• The auto industry has brought many people to Detroit.汽车工业把许多人吸引到了底特律。

2 riskiest   

冒险的，危险的( risky的最高级 )

参考例句：

• With markets lately rising, the riskiest investments are finding takers. 他说，在周期高峰时，投资者会追逐风险最高的资产。
• The riskiest subprime securitieshave almost no takers. 风险最高的次级证券几乎没有人持有。

3 dealer   

n.商人，贩子

参考例句：

• The dealer spent hours bargaining for the painting.那个商人为购买那幅画花了几个小时讨价还价。
• The dealer reduced the price for cash down.这家商店对付现金的人减价优惠。

4 dealers   

n.商人( dealer的名词复数 )；贩毒者；毒品贩子；发牌者

参考例句：

• There was fast bidding between private collectors and dealers. 私人收藏家和交易商急速竞相喊价。
• The police were corrupt and were operating in collusion with the drug dealers. 警察腐败，与那伙毒品贩子内外勾结。

5 investors   

n.投资者，出资者( investor的名词复数 )

参考例句：

• a con man who bilked investors out of millions of dollars 诈取投资者几百万元的骗子
• a cash bonanza for investors 投资者的赚钱机会

6 arrears   

n.到期未付之债，拖欠的款项；待做的工作

参考例句：

• The payments on that car loan are in arrears by three months.购车贷款的偿付被拖欠了三个月。
• They are urgent for payment of arrears of wages.他们催讨拖欠的工钱。

7 akin   

adj.同族的，类似的

参考例句：

• She painted flowers and birds pictures akin to those of earlier feminine painters.她画一些同早期女画家类似的花鸟画。
• Listening to his life story is akin to reading a good adventure novel.听他的人生故事犹如阅读一本精彩的冒险小说。

8 accounting   

n.会计，会计学，借贷对照表

参考例句：

• A job fell vacant in the accounting department.财会部出现了一个空缺。
• There's an accounting error in this entry.这笔账目里有差错。

9 delusion   

n.谬见，欺骗，幻觉，迷惑

参考例句：

• He is under the delusion that he is Napoleon.他患了妄想症，认为自己是拿破仑。
• I was under the delusion that he intended to marry me.我误认为他要娶我。

10 depreciate   

v.降价，贬值，折旧

参考例句：

• The computer value will depreciate by $ 500 in the first year.在头一年里这台电脑会贬值500美元。
• If you neglect this property,it will depreciate.如果你忽视这份资产，它无形中就贬值了。

11 uncommon   

adj.罕见的，非凡的，不平常的

参考例句：

• Such attitudes were not at all uncommon thirty years ago.这些看法在30年前很常见。
• Phil has uncommon intelligence.菲尔智力超群。

12 rust   

n.锈；v.生锈；(脑子)衰退

参考例句：

• She scraped the rust off the kitchen knife.她擦掉了菜刀上的锈。
• The rain will rust the iron roof.雨水会使铁皮屋顶生锈。

13 markup   

n.加价，涨价，利润

参考例句：

• This mean that international delivery will line markup from today.这意味着国际快递将从今天起全线涨价。
• Our products are expensive,and distributors and retailers always want a large markup.我们的产品很贵，经销商和零售商总是要求高额利差。

14 fret   

v.(使)烦恼；(使)焦急；(使)腐蚀，(使)磨损

参考例句：

• Don't fret.We'll get there on time.别着急，我们能准时到那里。
• She'll fret herself to death one of these days.她总有一天会愁死的.

15 fixed   

adj.固定的，不变的，准备好的；(计算机)固定的

参考例句：

• Have you two fixed on a date for the wedding yet?你们俩选定婚期了吗？
• Once the aim is fixed,we should not change it arbitrarily.目标一旦确定，我们就不应该随意改变。

16 aggrieved   

adj.愤愤不平的，受委屈的；悲痛的；（在合法权利方面）受侵害的v.令委屈，令苦恼，侵害( aggrieve的过去式)；令委屈，令苦恼，侵害( aggrieve的过去式和过去分词)

参考例句：

• He felt aggrieved at not being chosen for the team. 他因没被选到队里感到愤愤不平。 来自《简明英汉词典》
• She is the aggrieved person whose fiance&1& did not show up for their wedding. 她很委屈，她的未婚夫未出现在他们的婚礼上。 来自《简明英汉词典》

17 discretion   

n.谨慎；随意处理

参考例句：

• You must show discretion in choosing your friend.你择友时必须慎重。
• Please use your best discretion to handle the matter.请慎重处理此事。

18 fuming   

愤怒( fume的现在分词 )； 大怒； 发怒； 冒烟

参考例句：

• She sat in the car, silently fuming at the traffic jam. 她坐在汽车里，心中对交通堵塞感到十分恼火。
• I was fuming at their inefficiency. 我正因为他们效率低而发火。