Car lenders disable cars due to late payment while driving

[thetransporter]

http://dealbook.nytimes.com/2014/09/24/miss-a-payment-good-luck-moving-that-car/?_php=true&_type=blogs&_php=true&_type=blogs&ref=business&_r=1&


The thermometer showed a 103.5-degree fever, and her 10-year-old’s asthma was flaring up. Mary Bolender, who lives in Las Vegas, needed to get her daughter to an emergency room, but her 2005 Chrysler van would not start.

The cause was not a mechanical problem — it was her lender.

[killramos]

Well after the lawsuit is done she will have no problem making her payments do win win?

Rediculous, intervention is something I worry about with connected drive on my bmw. Then I take off my tin foil hat and have a beer.

[jdmXSI]

^^ The ridiculous intervention is atleast 5 years away and will probably roll out on the 5 and 7 series first... I don't think you have anything to worry about.

They do it here in Calgary too, if they think you are a credit risk. There is a fuel cut off that is installed.

[ExtraSlow]

They have ambulances in Las Vegas - Fact.

[Feruk]

I was invested in the Canadian stock that does this for years. Company's called Carfinco (TSX: CFN). Brilliant business model. Very high interest loans with extremely low default rates. The way their technology worked was once you were late on your payment, the car would set the alarm off for like 30 seconds when you went to unlock it (but you could still drive). Once you were a couple months late, the car wouldn't turn on until you paid what weas owed. It's a better way to make money off stupid poor people than even credit card companies, as the loans carry a huge interest rate.

As for the dumb cow in this article... either pay your bills on time, or take the bus.

[Sugarphreak]

...

[Fly Fishin']

When i worked for Automaxx (yes all their cars are crap!) We put these cut offs on over 60% of the units sold and pulled lots of them back to the lot.

[Modelexis]

Sooner or later irresponsibility is going to catch up and it's a shame that the innocent child had to suffer due to her mother's negligence.

[Twin_Cam_Turbo]

I had a guy tow his car in once because it wouldn't start, and well you know how it went from there...

[Khyron]

So if they'd walked out to leave and found the van halfway onto a tow truck, how is that any different? Bad timing, pay your bills.

[MGCM]

i hope the government charges the mother with negligence, just stupid :banghead:

[Seth1968]

“I felt absolutely helpless,” said Ms. Bolender, a single mother who stopped working to care for her daughter. It was not the only time this happened: Her car was shut down that March, once in April and again in June.

Uh huh.

[Thaco]

it's still stupid, a lot of people in a situation like this, would just rage and trash the vehicle, it's a no win..

[JustinMCS]

Originally posted by Seth1968


Uh huh.

+1

[AE92_TreunoSC]

Idiotic americans as usual. Apparently they'd rather have the car repo'd.

[thetransporter]

Originally posted by Fly Fishin'
When i worked for Automaxx (yes all their cars are crap!) We put these cut offs on over 60% of the units sold and pulled lots of them back to the lot.

what if the device doesnt receive the signal??

[Sugarphreak]

...

[FraserB]

I wonder if the people who are in default and have their cars shut off even think about avoiding the situation by paying their debt? If you can't afford a car, which is not a right, there are things called buses and bicycles. They are generally cheaper and serve the same purpose.

[jwslam]

Originally posted by Sugarphreak
Needs a new dash light:

"Check Bank Account"
To be ignored along with the CEL, Oil, Low Gas, TPMS, and Airbag lights? These people care nothing about "their" cars...

[Hallowed_point]

What's to stop someone from taking the car to a shop to have this device removed once they become aware of it? It's a good idea I think. But misguided. As others have said, they may just resort to destroying any residual value in the vehicle.

[pheoxs]

Originally posted by Hallowed_point
What's to stop someone from taking the car to a shop to have this device removed once they become aware of it? It's a good idea I think. But misguided. As others have said, they may just resort to destroying any residual value in the vehicle.

I would assume it is set up with 2-way communication and once every day or so it polls an update. Car says its still alive, server says they've paid their debts. And if it doesn't receive a signal for X amount of time it auto reports it as well as attempts to disable the vehicle. If you rip it all out the finance company would see that its no longer connecting to the car and they just report it stolen / send a tow truck to your house or something.

Given how crafty these companies are I'd be reasonably certain there is a part of the contract that basically states if you tamper with it, they can seize your car until it is re-installed or something along those lines.

There's likely easy ways to get around it but lets face it, people signing up for 20-30% interest car loans aren't exactly bright people to begin with ...

[clem24]

Originally posted by ExtraSlow
They have ambulances in Las Vegas - Fact.

Fact - Las Vegas is in the US. An ambulance ride will be billed directly to her. Do you really think she can afford that? :banghead: :banghead:

[codetrap]

Originally posted by Hallowed_point
What's to stop someone from taking the car to a shop to have this device removed once they become aware of it? It's a good idea I think. But misguided. As others have said, they may just resort to destroying any residual value in the vehicle. Did you read the article? lol

[codetrap]

Originally posted by clem24
Fact - Las Vegas is in the US. An ambulance ride will be billed directly to her. Do you really think she can afford that? :banghead: :banghead: FACT - If your kid is dying, are you going to worry about if you can afford an ambulance trip or are you just going to call for an ambulance?

I wonder if she's now a fan of Obamacare?

[Hallowed_point]

Originally posted by pheoxs


I would assume it is set up with 2-way communication and once every day or so it polls an update. Car says its still alive, server says they've paid their debts. And if it doesn't receive a signal for X amount of time it auto reports it as well as attempts to disable the vehicle. If you rip it all out the finance company would see that its no longer connecting to the car and they just report it stolen / send a tow truck to your house or something.

Given how crafty these companies are I'd be reasonably certain there is a part of the contract that basically states if you tamper with it, they can seize your car until it is re-installed or something along those lines.

There's likely easy ways to get around it but lets face it, people signing up for 20-30% interest car loans aren't exactly bright people to begin with ...

No kidding..buy a car you can afford cash if that's the interest rate your stuck at! My brother is paying 18% on his truck as his credit sucked due to going to school for welding and not paying CC for awhile. I knew a security guard who was paying 28% on..a..cavalier :nut:

I'm sure they do have clauses like you've said to prevent such problems.

[snowcat]

Good.

She didn't follow her end of the contract. Don't pay, don't drive. Easy!

[Fly Fishin']

Originally posted by thetransporter


what if the device doesnt receive the signal??

I'm not sure, we just intalled them and i think a thrid party took care of the kill switch signal and repo.

[clem24]

Originally posted by codetrap
FACT - If your kid is dying, are you going to worry about if you can afford an ambulance trip or are you just going to call for an ambulance?

I wonder if she's now a fan of Obamacare?

I don't think her kid was dying - probably non-life threatening medical distress. If you were piss poor, you'd be doing the same.

[CompletelyNumb]

Originally posted by clem24
If you were piss poor, you'd be doing the same.


What's that, financing a car and routinely not making payments? Then crying to the media that you aren't getting a free ride?

Just another "having a car is my right" retards in this article.

[Rocket1k78]

Originally posted by snowcat
Good.

She didn't follow her end of the contract. Don't pay, don't drive. Easy!

Can't believe I'm agreeing with you but I 100% do. This is no ones fault but hers and the fact it's happened 3 times before in the same year just shows how irresponsible she is. Always have to blame someone else 😡

[infamous]

Originally posted by Rocket1k78


Can't believe I'm agreeing with you but I 100% do. This is no ones fault but hers and the fact it's happened 3 times before in the same year just shows how irresponsible she is. Always have to blame someone else 😡

did nobody read the whole article?!?!?


taken from the article
The devices, lawyers for borrowers argue, violate those laws because they may effectively repossess the car only days after a missed payment. Payment records show that Ms. Bolender, the Las Vegas mother with the sick daughter, was not in default in any of the four instances her ignition was disabled this year.

[Seth1968]

Originally posted by infamous


did nobody read the whole article?!?!?



I did.

Please enlightenment me on my ignorance.

[spikerS]

I have no issue with this. But there definitely needs to be some legislation around their use to protect the vehicle owner to limit how and when strong arm tactics can be used.

[Redlyne_mr2]

You guys have to remember the people who have these on their cars have had cars repoed in the passed, written off loans, gone bankrupt etc. They know what they're getting into when they sign the contract and agree to having the device installed. No one to blame but the debtor.

In the article the lady admits she quit working to care for her daughter. How does this make any sense at all.

[btimbit]

Originally posted by Hallowed_point
What's to stop someone from taking the car to a shop to have this device removed once they become aware of it? It's a good idea I think. But misguided. As others have said, they may just resort to destroying any residual value in the vehicle.

Unknown to me, my F-150 had one of these in it from the previous owner. (Lein free but forgotten about I guess) Started acting up one day and I hear this beeping under the dash. They take about 2 minutes to find and unplug.

[Hallowed_point]

Originally posted by btimbit
Unknown to me, my F-150 had one of these in it from the previous owner. (Lein free but forgotten about I guess) Started acting up one day and I hear this beeping under the dash. They take about 2 minutes to find and unplug.

Wow..that's funny! As has been said though, they probably would just tow it and charge you re-installation fees.

[Rocket1k78]

Originally posted by infamous


did nobody read the whole article?!?!?



I didn't so i missed the part where they said it wasnt because of missed payments but did they say why? 4 times is no accident though.

Like Redlyne_mr2, these things are put on for a reason.