How Stupid can GM Get
07-22-2010, 10:10 AM
#1
Racer
Thread Starter
How Stupid can GM Get
General Motors Co. will buy AmeriCredit Corp. for $3.5 billion, a deal that allows the automaker to expand loans to customers with poor credit and offer more leases.
But the acquisition, announced Thursday, also means that GM, which is 61 percent owned by the U.S. government, is getting back into the business of making risky loans.
GM executives have said for months that they were missing sales opportunities due to lack of credit for lease deals and financing for subprime buyers, those with credit scores below 620.
Isn't this one of the things that caused the problems to begin with.
But the acquisition, announced Thursday, also means that GM, which is 61 percent owned by the U.S. government, is getting back into the business of making risky loans.
GM executives have said for months that they were missing sales opportunities due to lack of credit for lease deals and financing for subprime buyers, those with credit scores below 620.
Isn't this one of the things that caused the problems to begin with.
07-22-2010, 10:19 AM
#2
Team Owner
Member Since: Jun 2005
Location: Northern, VA
Posts: 46,111
Received 2,485 Likes
on
1,947 Posts
St. Jude Donor '15
"In honor of jpee"
actually, I heard this a few weeks ago as a rumor. esp. the part about the making more loans to subprime borrowers.
that acquired co. apparently is going at it with/on a tear.
see: http://blogs.wsj.com/deals/2010/07/2...air-rekindled/
that acquired co. apparently is going at it with/on a tear.
see: http://blogs.wsj.com/deals/2010/07/2...air-rekindled/
07-22-2010, 11:11 AM
#8
Team Owner
That's what Off Topic is for.
