3 chapters across the catalog
The subprime auto loan market faces a crisis as high-profile bankruptcies like Tricolor and First Brands trigger a sell-off in private credit. Meanwhile, Porsche reports a 96% plunge in profits due to a failed aggressive electric vehicle strategy and the high costs of returning to combustion engines. The broader automotive sector is seeing a shift back to petrol and hybrid models as consumer demand for high-performance EVs weakens.
Lenders for subprime auto loans are increasingly installing GPS-based kill switches that allow them to remotely disable vehicles if payments are missed. Beyond debt collection, this technology provides a framework for the state to monitor driving habits and issue automated fines for speeding or illegal U-turns. Similar systems are already mandatory for taxi cabs in cities like Amsterdam.
The Financial Times reports that the FBI is preparing to arrest hundreds of people for falsifying income on mortgage applications. The hosts dismiss the news as a publicity stunt intended to frighten the public rather than address systemic banking issues. They argue that banks were complicit in the subprime crisis by ignoring documentation requirements.
