LA Times Series on Predatory Used Car Industry

The Los Angeles Times has a three-part series on how predatory used car businesses take advantage ofthe poor by offering short-term contracts on clunkers with interests as high as 30 (!) percent. It pains me when I read these stories and how it affects vulnerable young children. This is just as bad as the housing foreclosure crisis that wreak havoc across the country.

• A vicious cycle in the used-car business
  
• Investors place big bets on Buy Here Pay Here used-car dealers
  
• Is there a better way for the working poor to find wheels?
  

I offer a few solutions: there should be government programs similar to the Community Reinvestment Act (CRA), which mandate banks offer financial assistance to low-income individuals and families financial assistance in owning a house. This program should be replicated in the auto industry as well. In this economy, if you don't have your own personal vehicle, it is extremely difficult to find and keep work. Having possession of a car lifts 87% of families out of poverty! I know what it is like to live in a city without a car; if the job opportunity is not accessible by bus then I cannot apply for that job. Most American cities don't have reliable public transportation unless you move to high cost-of-living areas such as New York City, Washington DC, and Chicago. Please contact your congressional and state representatives to support this national issue.