Tag: Loan

“Connected cars” can benefit car owners in a lot of ways, but in fact, connection can be a double-edged sword. As reported in the New York Times, many subprime borrowers must have their car outfitted with a so-called starter interrupt device. By simply clicking a mouse or tapping a smartphone, lenders can remotely disable the ignition and retain the ultimate control. Moreover, by using the GPS technology on the devices, the lenders can also track the cars’ location and movements. This has led to the subprime boom in car loans, as it offer the lenders more control over their vehicles. It will be interesting to see if such a trend will spread to other businesses dealing with connected devices.