Cars Blog

Finance Blogs » Cars Blog » Financial regulation and your next auto loan, continued

Financial regulation and your next auto loan, continued

By Claes Bell ·
Friday, May 21, 2010
Posted: 4 pm ET

So after further reading of the house bill, plus a helpful e-mail from Bailey Wood over at the National Auto Dealers Association, it appears that buy here, pay here auto dealers will be covered by the Consumer Financial Protection Agency if they routinely make auto loans directly to consumers. That's good news, because it means buy here, pay here lenders won't be getting any special auto loan advantages over conventional auto dealerships.

That said, it's hard to tell whether this exemption will make it into the final bill. On a conference call today, Austan Goolsbee, staff director and chief economist on the President's Economic Recovery Advisory Board, said, "We should be trying to have as few carve-outs as we possibly can. Now as they come out of the legislative process, we'll see where things stand."

I'll keep you posted as I find out more about how financial regulation will end up impacting car buyers.

Bankrate wants to hear from you and encourages comments. We ask that you stay on topic, respect other people's opinions, and avoid profanity, offensive statements, and illegal content. Please keep in mind that we reserve the right to (but are not obligated to) edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.

By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.
June 25, 2010 at 5:54 pm

Need to watch these bhph they charge 10k over book plus intrest.