Some Birmingham 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 risks stem from long-term personal contract purchase deals, under which customers pay billions of pounds over several years , a cycle which is also depressing the second -hand car market. Vauxhall, Suzuki Finance warned car finance debt owed by UK drivers has risen 15% in several years to £58bn and that banks could lose up to £ 2.2bn ($ 2.2bn ) if the value of second -hand Kevin Barker, 71, found himself £3,500 in debt when he suffered a heart attack six months into a PCP deal. cars keeps falling.
Some Birmingham 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 risks stem from long-term personal contract purchase deals, under which customers pay billions of pounds over several years , a cycle which is also depressing the second -hand car market. Vauxhall, Suzuki Finance warned car finance debt owed by UK drivers has risen 15% in several years to £58bn and that banks could lose up to £ 2.2bn ($ 2.2bn ) if the value of second -hand cars keeps falling.