These loans grew by 9.9% last quarter.and 116% over last year. They now have 1.54 billion on their books which they can not sell to anyone. Collections is not going to be pretty. When sub-prime lending halts their 1.9% increase in sales will soon become negative. Now that is barking up your tree and bite from me!!!!! The real truth from GM lending.
Subprime sales and loans have bitten GM very hard in the past. They only do them when they are very desperate so this should tell you they are very scared and worried about their sales.
They would absolutely not do sales for FICOs that low if they didn't have to. It's a short term revenue pop, but long term it bites you hard! They know this, and would only resort to it in dire emergencies.
Can't believe they are loaning to FICOs below 600, let alone 540!