Some UK car salesmen are "forgetting the lessons of the past" by selling vehicles to customers on low wages or with poor credit ratings, prompting fears of mass defaults and a crash in the market. City watchdog The government has been accused of failing to protect consumers from unscrupulous dealers. The Bank of England warned car finance debt owed by UK drivers has risen 15% in the past year to £58bn and that banks could lose up to £1.7bn ($2.2bn) if the value of second-hand cars keeps falling.
Some UK car salesmen are "forgetting the lessons of the past" by selling vehicles to customers on low wages or with poor credit ratings, prompting fears of mass defaults and a crash in the market. The government has been accused of failing to protect consumers from unscrupulous dealers. The Bank of England warned car finance debt owed by UK drivers has risen 15% in the past year to £58bn and that banks could lose up to £1.7bn ($2.2bn) if the value of second-hand cars keeps falling.