Last week when I said this would start to happen, we knew it would. I would expect a lot of this type of blame in the coming future. A rent control type scenario. Banks will not be able to make victims out of people not paying their bills.
What will happen is the people will be able to tie up a repossession matter in court so long that a repossession wont matter anyway. States like NY, NJ, CA, CO and others will begin the major protections as stated below with this case in NJ.
“NEWARK — Two South Jersey car dealers took advantage of used-car buyers with poor credit scores, using lending practices that allowed them reclaim and resell vehicles repeatedly, according to a lawsuit by the state Attorney General’s Office.
State Attorney General Gurbir S. Grewal and its Division of Consumer Affairs announced the lawsuit Thursday against two “Buy Here, Pay Here” auto dealerships —Nu 2 U Auto World of Clementon and Pine Valley Motors in Berlin — and their owner, Kenneth R. Cohen of Magnolia.
Grewal said the dealerships preyed on “financially vulnerable” customers, selling them over-priced cars with high miles, pressuring them into in-house loans with severe penalties.
“Then (when the buyer defaulted), the dealerships reclaimed and resold the vehicles over and over again to different consumers in a practice known as churning,” he explained.
Gov. (Phil) Murphy promised New Jersey consumers increased protections against financial exploitation and we’re making good on that promise.”
The lawsuit asks the courts to ban Cohen from owning, managing or selling vehicles and to reimburse former customers who fell victim to the “churning” practice.
Anticipating a buyer would be unable to make the auto payments, the dealerships never provided them with the vehicle registration, the lawsuit said.
The dealer also required buyers to sign documents to re-key the vehicle, often at great expense, and to provide the dealer with a copy of the key or face repossession of the vehicles, according to the agreements the consumers signed.”