US car repossessions surge as more Americans default on auto loans • Hacker News Board

Re: US car repossessions surge as more Americans default on auto loans

#111

Post by potato3732842 » Fri, Oct 17, 2025, 10:49 PM UTC

dijit wrote: post #2

It's an extremely inconvenient situation that Americans find themselves in, a sort of self-perpetuating cycle of car dependency that they reinforce because alternatives require far too much investment to make worthwhile. I'm really glad that I can live in a city without having to own a car if I don't want to. It makes a significant difference to my monthly expenses. And, honestly, it's a lot nicer and feels a lot mor…

Being on the bottom rungs is actually a lot cheaper than "HN style" car ownership. Nobody expects your shitbox to be legal, or have compliant papers all the time. You're blue collar so you know people who wrench and trade favors here and there. Boss expects you to be late a few times a month.

There's a "welfare cliff" when you try to get into a "must have reliable transportation" job though

Re: US car repossessions surge as more Americans default on auto loans

#112

Post by kristianp » Fri, Oct 17, 2025, 10:50 PM UTC

ookblah wrote: post #27

harmmonica wrote: post #15

As if I need to make another comment about a, or multiple bubbles, but something has to give and here it's of course the consumer. New and used car prices are at all-time highs (nominal it sounds like, but tell that to someone whose wages haven't kept pace (i.e., almost everyone)). Housing prices are at all-time highs (in terms of price:income so no qualifier needed there). Tariffs are not being 100% eaten by the pro…

we learned our lessons from 2008 and 2020. my random thoughts 1) money has nowhere else go for now 2) great wealth transfer = really doesn't matter as long as the super rich can keep inflating their wealth faster than us peons. if you are above that curve just stay ahead of it at all costs. 3) prolonged pain can be extended indefinitely for most people by keeping them perpetual renters / extending loan terms. 4) all…

> if you are above that curve

Is it possible to know if you're above 'that' curve? Does above the curve mean your assets are increasing in value faster than inflation?

Re: US car repossessions surge as more Americans default on auto loans

#113

Post by NegativeK » Fri, Oct 17, 2025, 10:50 PM UTC

kulahan wrote: post #80

jeffbee wrote: post #34

Earlier quoted context omitted.

Imagine having a credit score of 300 and a $542/mo loan payment on a used car. Cursed. Americans need buses more than ever.

Does anyone else hate busses, and the only response you ever get after mentioning this is "NUH UH BUSSES CAN BE GREAT"? A bus will pretty much always be inferior to a car. Mathematically impossible to run on time. It never gets you where you want to go, just kinda close usually. If one doesn't show up, there is no real feedback without an extensive background metadata system. Never as clean as your own car (unless yo…

In most places I've lived, busses are for poor people. Because anyone else will pay whatever it takes to get a car and avoid something like a _three hour_ round trip for something 10 miles away. I'm not kidding; my work commute is 10 miles each way, in a city of way more than 1M, and it's 1.5 hours total for me to get to work on time.

I've lived in one place where they were great. Dense urban environments can do that, though. So nuh us busses can be great (the trains were even better), but it seems like the US has zero actual drive to make public transit not crap.

Re: US car repossessions surge as more Americans default on auto loans

#114

Post by colechristensen » Fri, Oct 17, 2025, 10:52 PM UTC

dinobones wrote: post #31

harmmonica wrote: post #15

As if I need to make another comment about a, or multiple bubbles, but something has to give and here it's of course the consumer. New and used car prices are at all-time highs (nominal it sounds like, but tell that to someone whose wages haven't kept pace (i.e., almost everyone)). Housing prices are at all-time highs (in terms of price:income so no qualifier needed there). Tariffs are not being 100% eaten by the pro…

On paper, nothing will happen. The wealthy in America will continue to get wealthier. Real estate and stocks will soar in value. In reality, the dollar's true value will plummet. The FED is starting to lower interest rates again. We are likely going to undergo brutal inflation. Crashing the economy is obviously very politically unpopular. The left/right will do whatever they can to keep this charade up, even if it me…

>The COVID pandemic was a good example of this. The working class got thrown a $2,000 check while there was billions given to bail out businesses/lots of fraud.

A lot of people were paid more to not work during COVID restrictions than they earned before or after. $653 billion in federal funds for unemployment programs.

People were getting $600 per week from the feds for a while, then $300/week. Not a single $2000 check, $2400 per month. About the bottom 25 percentile were brought up to 25th percentile income.

Re: US car repossessions surge as more Americans default on auto loans

#115

Post by mothballed » Fri, Oct 17, 2025, 10:52 PM UTC

NegativeK wrote: post #113

kulahan wrote: post #80

Earlier quoted context omitted.

Does anyone else hate busses, and the only response you ever get after mentioning this is "NUH UH BUSSES CAN BE GREAT"? A bus will pretty much always be inferior to a car. Mathematically impossible to run on time. It never gets you where you want to go, just kinda close usually. If one doesn't show up, there is no real feedback without an extensive background metadata system. Never as clean as your own car (unless yo…

In most places I've lived, busses are for poor people. Because anyone else will pay whatever it takes to get a car and avoid something like a _three hour_ round trip for something 10 miles away. I'm not kidding; my work commute is 10 miles each way, in a city of way more than 1M, and it's 1.5 hours total for me to get to work on time. I've lived in one place where they were great. Dense urban environments can do that…

I've lived in a couple places with public transit way faster and more efficient than cars.

But because it's public, people can't be easily kicked off. Once I was caught between a knife fight; another time a schizophrenic person started to aggressively trap me in the corner while going on an increasing paranoid tirade.

Not long after that I bought a bicycle.

Re: US car repossessions surge as more Americans default on auto loans

#116

Post by _heimdall » Fri, Oct 17, 2025, 10:52 PM UTC

ryandrake wrote: post #107

_heimdall wrote: post #101

Earlier quoted context omitted.

Old car repairs generally don't cost as much as you'd expect, especially when you aren't paying $750/no on a loan plus higher insurance premiums. My mechanics often perk up when I bring in my 80s era pickup. It has very low miles, they can generally diagnose it with very basic tools, and parts are cheap. When I have the time to work on it myself I appreciate it for those exact same reasons.

Yea, that $750/mo that you're now not paying can be saved to pay for the occasional repair bill that you're going to face while owning a junker car you didn't take on a loan for. Or, not, if you bought a 1995 Toyota Camry or something which is probably going to outlive you.

Right. I buy old cars, but I'm picky as hell and buy ones that have been taken care of, still have parts availability, and are models with proven reliability.

I still recommend anyone buy a later model Buick Lesabre if you find one in good shape. They're very cheap, the 3800 motor is excellent, and are still very comfortable rides that get around 30mpg on the highway.

Re: US car repossessions surge as more Americans default on auto loans

#117

Post by potato3732842 » Fri, Oct 17, 2025, 10:53 PM UTC

ryandrake wrote: post #107

_heimdall wrote: post #101

Earlier quoted context omitted.

Old car repairs generally don't cost as much as you'd expect, especially when you aren't paying $750/no on a loan plus higher insurance premiums. My mechanics often perk up when I bring in my 80s era pickup. It has very low miles, they can generally diagnose it with very basic tools, and parts are cheap. When I have the time to work on it myself I appreciate it for those exact same reasons.

Yea, that $750/mo that you're now not paying can be saved to pay for the occasional repair bill that you're going to face while owning a junker car you didn't take on a loan for. Or, not, if you bought a 1995 Toyota Camry or something which is probably going to outlive you.

>s probably going to outlive you

You mean "rod the block next week because it was used as an uber and before that it was owned by three successive hipsters who didn't change the oil because 'lol it's a Toyota' or whatever"

Dollar for dollar Toyotas were a bad buy as soon as Reddit started trying to tell everyone to buy them.

Re: US car repossessions surge as more Americans default on auto loans

#118

Post by watwut » Fri, Oct 17, 2025, 10:55 PM UTC

JohnFen wrote: post #37

ramesh31 wrote: post #22

Earlier quoted context omitted.

>So when will the music stop? Seems like it should've been "yesterday," but what's the argument for it to continue playing for the foreseeable future? The great wealth transfer? AI efficiency/productivity gains (without the vast elimination of jobs)? Something else? They seem to have figured out that you can just simply stop caring about the needs of 90% of your population if you systematically withhold any wealth fr…

Historically, this has ultimately led to revolutions.

Historically, it did not. What actually does lead to revolution is regime becoming weak and unable to organize. You can keep people in horrible conditions and there will be no revolution, because dissenters will get stopped long before they anywhere near organizing themselves.

It is when the powerful become the weak that revolution can happen. And it takes more then one round of it till reasonable government emerges again.

Re: US car repossessions surge as more Americans default on auto loans

#119

Post by lurk2 » Fri, Oct 17, 2025, 10:55 PM UTC

estimator7292 wrote: post #63

ramesh31 wrote: post #52

Earlier quoted context omitted.

>Historically, this has ultimately led to revolutions. Which is why they've spent the last 50 years pitting the lower classes against themselves with meaningless culture wars. In a world with F-16s, Apache helicopters, and panopticon digital surveillance, there will never be armed revolution again (nor would anyone actually want that); the only option is nonviolent resistance. But it'll never happen in the US since w…

Sure, but this time it's not different. The play has always and forever will be to try and force most of the population into a peasant caste be removing education and welfare, as well as setting up nice circular infighting. It will inevitably end up as it always does. Or we'll all die horribly. You know, either way.

> be removing education and welfare

Both of these are historical anomalies; the middle class developed prior to their ever having been implemented.

Re: US car repossessions surge as more Americans default on auto loans

#120

Post by _heimdall » Fri, Oct 17, 2025, 10:55 PM UTC

raw_anon_1111 wrote: post #102

_heimdall wrote: post #101

Earlier quoted context omitted.

Old car repairs generally don't cost as much as you'd expect, especially when you aren't paying $750/no on a loan plus higher insurance premiums. My mechanics often perk up when I bring in my 80s era pickup. It has very low miles, they can generally diagnose it with very basic tools, and parts are cheap. When I have the time to work on it myself I appreciate it for those exact same reasons.

And when you buy the car hypothetically and the motor goes out or the transmission within three months? And it’s one thing if your car breaks down on a side street, it’s completely different if it breaks down on an interstate. If you have a daughter would you be comfortable with her driving an unreliable car? Your wife? Your mother?

Sure, your motor or trans can go out on any vehicle and unless you still have a warranty its your problem.

It sucks if you spend $3500 on a car only to spend another $2000 because the transmission went out and the timing was bad luck. I wouldn't recommend anyone buy an old car I'd they have no emergency fund left after the purchase though.

My wife does regularly drive our old cars. If it dies on the highway we'll deal with it. I don't have a daughter, but I wouldn't worry about my kid driving the kind of old cars I pick up - I'm patients picky, and able to work on them myself. The car would be the least of my worries if I had a young daughter with a drivers license.