Valuetainment - November 13, 2025


“3 MILLION Cars Will Be Repoed” - Will America's Auto Debt CRISIS Trigger The Next Recession？


Episode Stats

Length

11 minutes

Words per Minute

174.56387

Word Count

2,068

Sentence Count

227

Misogynist Sentences

1

Hate Speech Sentences

2


Summary

On the same day, a story on the same exact day, car repossessions trend shows chilling echoes of 2008 crisis as economists warn of more dominoes to fall. (1:00) What's happening with car loans? (2:30) Why are people stretching out their car loan terms? (3:15) (4:20) How many cars will be repossessed in 2025? (5:50) Is this a good or bad thing? (6:40) Should we be worried? (7:10)


Transcript

00:00:00.000 More car buyers are stretching out their auto loans, but longer terms comes with trade-offs.
00:00:05.780 And the reason why we're reading this story is because a story on the same exact day,
00:00:10.180 car repossessions trend shows chilling echoes of 2008 crisis as economists warn of more dominoes to fall.
00:00:18.640 So folks, if you're watching this, you have a car payment, you're going through it.
00:00:23.260 Rob, if you can put that poll, for those of you that buy cars, just out of curiosity,
00:00:28.240 when it comes on to financing, how many of you guys are doing 60-month financing, 72-month financing,
00:00:35.780 84-month financing, or 96-month financing?
00:00:39.220 Rob, just put the 60, 72, 84, 96.
00:00:41.900 I know some people are going to be like, I pay cash, I do 48, I do 36.
00:00:45.320 I'm specifically interested on this here.
00:00:48.940 Just curious to know how many of people are going to vote.
00:00:51.440 So 60, 72, 84.
00:00:54.100 So it's like, I want to finance my car for five years, for six years, for seven years, for eight years, right?
00:00:58.240 Okay, so let me read this to you.
00:01:00.100 Car reposition trends.
00:01:03.700 Jake is getting upset in the back.
00:01:05.840 Jake is on 108 months.
00:01:07.460 He's like, shit.
00:01:08.560 I got 120-month car financing.
00:01:10.960 I'm paying a payment for another 10 years.
00:01:13.080 All right.
00:01:13.960 So car repositions are surging across U.S.
00:01:16.340 as an increasing number of Americans fall behind on their loans.
00:01:20.220 According to data from Recovery Database Network, analyzed by CU Reposition Repo Session,
00:01:30.100 it's projected that over 3 million cars will be repoed in 2025.
00:01:34.720 Okay?
00:01:34.920 This will be the highest number since financial crisis.
00:01:38.160 In the final three months of this year alone, the analysis predicts that 820,236 vehicles
00:01:45.240 will be repossessed across the country, and millions more are at risk of losing their cars
00:01:50.780 as they struggle to keep up with payments.
00:01:53.180 The percentage of subprime borrowers, those with poor, no credit, or no credit, who are
00:01:58.920 at least 60 days late on their auto loans, was at 6.43% in August, according to Fitch,
00:02:06.120 is where the number was at.
00:02:07.200 Tom, what can you say about this here?
00:02:08.680 So, basically, what's happening is, thanks to inflation, used cars shot up.
00:02:18.040 Remember how expensive they were?
00:02:19.640 Yeah.
00:02:20.020 And then specific vehicles that were, say, coming off leases, you know, leases two to three
00:02:25.460 years, those, there was a shortage of those, of the ones that were related to higher-end
00:02:30.560 chips that were in the dashboard for all the advanced services in your car.
00:02:34.120 Remember that?
00:02:34.620 Yep.
00:02:34.740 So, all of that went up, and what happened is, a lot of people bought those when those
00:02:40.660 used cars were very expensive, and now it's all coming home to roost as the loans are going
00:02:48.780 bad, and also, there's a company called Tricolor.
00:02:54.940 It was a Tricolor Holdings, and it was an empire of, basically, auto loans and used cars,
00:03:03.160 and what happened, do you remember the big short?
00:03:07.360 This is not math, Vinny.
00:03:08.520 No, I love the book.
00:03:08.980 Remember in the big short where they all, they talked about, wait a minute, how can the
00:03:14.560 bonds be trading at par when the assets in the bonds are losing value?
00:03:20.840 All of the home repossessions, they went down to Florida.
00:03:23.640 The AA, AAA loans.
00:03:24.400 That's right.
00:03:24.820 They went down to Florida, and the scene in the movie where they found the alligator in
00:03:27.840 the swimming pool and all the deserted neighborhood, and they're like, oh my gosh, the bonds have
00:03:32.000 to be worthless.
00:03:33.400 Guess what?
00:03:34.400 Tricolor gets a phone call from J.P. Morgan and says, we need to talk, and they go down
00:03:38.560 to J.P. Morgan, Pat, and they had a discussion.
00:03:41.780 The underlying collateral, the cars, were worth less than the outstanding loans, and the loans
00:03:47.500 were showing up as defaulting.
00:03:50.500 And so we're seeing the same things here.
00:03:53.220 So what we are seeing right now is that the subprime section of America is having trouble
00:04:00.400 with their car loans, which says that not all Americans are doing as well as the stock
00:04:06.260 market is, and we've got clear signs of affordability issues for the middle class, particularly in
00:04:13.400 subprime and core middle America car loans, as we're seeing here.
00:04:18.840 Default rates, and then a major company goes down.
00:04:22.340 It's a real thing.
00:04:23.360 Jamie Dimon saying, I'm not going to help you.
00:04:25.300 Yeah, so let me kind of give you guys an example of how this works.
00:04:28.300 So let's just say you get a $50,000 car you want to finance, okay?
00:04:32.280 You bought a $50,000 car, you put 10% down, which is $5,000, and you finance it at 7%, okay?
00:04:41.440 So the whole thing we're talking about 60 months, 72 months, 84 months, 96 months, right?
00:04:45.560 If you go 48 months and you finance this $50,000 car after you put 10% down, which means you're
00:04:51.420 financing $45,000 at 7%, you're making a car payment of $1,078.
00:04:58.160 If it's a 60-month lease on the same car, you're paying $891.
00:05:03.380 Now keep in mind, Rob, if you go to the story, the CNBC story, and actually visually show this
00:05:08.120 to them, it'd be very good for them to visually see this.
00:05:10.100 So at 48 months, it's $1,078 with $6,724 total interest.
00:05:17.300 At 60 months, $891, $8,400 interest.
00:05:22.740 At 84 months, it's $679, and you're paying what?
00:05:26.580 $12,000 in interest.
00:05:28.660 So an 84-month loan ends up costing you $5,300 more in interest than a 48-month loan, okay?
00:05:36.600 So if you look at this, what is the first thing you think about when you see this?
00:05:40.180 Bad.
00:05:41.140 I could drive a cool car for $6,79 and look chill.
00:05:45.200 You want to know something about-
00:05:46.280 That's the payment-based mentality of some consumers.
00:05:48.780 I tell you, you could really dance, Vinny.
00:05:50.920 I love that.
00:05:51.480 Okay?
00:05:51.880 Remember,
00:05:52.780 Okay.
00:05:59.600 Okay.
00:06:00.800 Okay.
00:06:01.080 All right.
00:06:01.820 Sounds good.
00:06:02.360 So,
00:06:02.480 Henry's going to walk in the room and get upset right now.
00:06:17.340 That's so funny.
00:06:18.700 So to me, which one did you do, Tom?
00:06:21.920 I always did the shortest car loans I could because my dad always told me a very simple thing.
00:06:28.000 We were a middle-class family.
00:06:29.640 1,300-square-foot house is what I kind of grew up in until we were older and my dad's job began.
00:06:34.180 Did that 28,000-square-foot castle back then?
00:06:35.900 No, no, but he was telling us, he said, don't pay for it twice.
00:06:40.100 He showed us this.
00:06:41.000 He said, don't pay for it twice.
00:06:42.380 Great counsel.
00:06:43.120 He says, keep your car loans short.
00:06:46.160 Rob, where are you at with this?
00:06:47.020 Keep your car affordable.
00:06:48.420 Rob.
00:06:48.640 I purchased straight in cash.
00:06:50.920 Have you always been like that?
00:06:52.420 Straight in cash, homie.
00:06:53.640 Go to when you were 25.
00:06:55.420 25, 28.
00:06:56.400 Yeah.
00:06:56.820 I had a 2007 Ford Mustang that I bought in 2007.
00:07:00.880 I ended up having, I think it was a 60-month loan.
00:07:03.800 You had a 60-month loan, Vinny.
00:07:05.620 You seem like, by the way, Vinny's such a conservative guy the way he lives.
00:07:10.300 Do you guys want to know the most interesting, fun fact about Vinny?
00:07:12.760 We do.
00:07:14.020 I'm being dead serious.
00:07:15.260 You ready for this?
00:07:16.120 Yeah.
00:07:16.860 He's never had a speeding ticket.
00:07:18.640 No.
00:07:19.540 Really?
00:07:20.360 Never.
00:07:20.920 Have you never had a speeding ticket?
00:07:22.120 I've never dealt with law enforcement, pulling over, no ticket.
00:07:27.280 Would you have ever guessed Vinny's personality?
00:07:29.420 He's never had a speeding ticket.
00:07:31.140 I would have thought he could love it.
00:07:32.460 But do you not speed?
00:07:33.140 Never got, check the record.
00:07:34.840 But do you not speed?
00:07:35.500 No, he drives so solid.
00:07:38.260 But go ahead.
00:07:38.560 You know on base, you can't mess around on base.
00:07:40.820 One on base.
00:07:41.720 Honestly, Pat, this is going to bug you out.
00:07:43.700 When I was in the military, I bought a car off of a fellow soldier.
00:07:47.020 Cash?
00:07:47.120 I paid cash.
00:07:48.340 It was like a Toyota something.
00:07:51.300 You know, smaller car.
00:07:52.280 Then I bought my motorcycle.
00:07:53.760 I just paid for it, you know, cash.
00:07:56.340 I totaled it.
00:07:57.260 Oh, shit.
00:07:57.700 My mom hears it.
00:07:58.700 Oh, no.
00:08:00.200 She can't watch this.
00:08:01.800 I just have to.
00:08:02.660 But no, I never.
00:08:04.300 Everything I just paid.
00:08:05.120 I just paid.
00:08:05.980 By the way, I'm going to make sure my sister does not let her watch this episode.
00:08:10.000 No.
00:08:10.340 And then everything was just always cash.
00:08:11.980 I never wanted to have big payments.
00:08:13.640 I always just paid for it.
00:08:14.560 What about your last couple of cars?
00:08:16.200 You had the Toyota hatchback thing?
00:08:18.520 I don't know.
00:08:19.020 Brent, how about yourself?
00:08:20.360 Yeah.
00:08:21.080 Cash.
00:08:21.480 Because my dad knows a lot about cars and fixes cars and stuff.
00:08:24.340 So he would get cars that were messed up, that had a problem with it, and then do a
00:08:28.260 part swap and, you know, get like a pretty solid car for a low amount of money.
00:08:32.520 So that's typically the way.
00:08:33.860 Maybe I'm just wired in a different way.
00:08:35.620 But I was just like, dude, I'll go 84 months and I'll pay the 7% because I think I can make
00:08:41.420 20% of my money.
00:08:43.820 That was me.
00:08:44.580 It's a dangerous game, sir.
00:08:45.580 That's not for everybody.
00:08:46.880 It's not for everybody.
00:08:48.220 No, no.
00:08:49.440 You're better off going with the 60-month-er or the 48-month-er.
00:08:53.000 But to me, it was kind of like, listen.
00:08:54.400 I know it's not, you know, it's not.
00:09:02.140 But to me, I'm like, okay, can I beat 7%?
00:09:05.420 I can beat 7%.
00:09:06.560 Oh, wow.
00:09:07.200 Yeah, that was me.
00:09:09.040 I thought I could beat 7%.
00:09:10.440 But again, that is not for everybody, folks.
00:09:13.600 Don't let me be a bad individual.
00:09:14.760 Don't do it, guys.
00:09:15.800 Go 36 months, go 48 months, or go full-on Adam style.
00:09:20.820 Uber lifestyle.
00:09:21.560 Uber lifestyle.
00:09:22.140 Let me tell you what's going on today.
00:09:23.200 We haven't done this in a while.
00:09:24.220 So this is probably going to go in 30 minutes.
00:09:27.360 We have a new hat that we've been working on for months.
00:09:30.540 And it's officially here in two colors.
00:09:32.940 Each are limited, numbered.
00:09:35.080 Out of 150, they will go like this.
00:09:38.180 Having said that, here's our latest Future Looks Bright hat.
00:09:40.900 Go ahead, Rob.
00:09:43.920 Vinny, look at that.
00:09:46.400 That is sick black and white.
00:09:48.220 Uh-huh.
00:09:48.720 Uh-huh.
00:09:49.220 Uh-huh.
00:09:49.540 Uh-huh.
00:09:53.760 Ziluch.
00:09:54.380 That's up.
00:09:54.900 Yes.
00:09:59.820 Daniel.
00:10:00.940 Uh-huh.
00:10:01.540 Uh-huh.
00:10:03.120 Uh-huh.
00:10:03.620 Who was that guy?
00:10:04.640 Who was that male model?
00:10:05.820 Who was it, actually?
00:10:06.580 Justin.
00:10:07.760 Is it?
00:10:08.540 Yeah.
00:10:08.840 No, it's not.
00:10:09.380 Is that really Justin?
00:10:10.080 Well, Justin kind of is a male model.
00:10:14.840 Let's give him a little credit.
00:10:16.640 Come on.
00:10:19.240 Sick.
00:10:19.720 We're going to go with Rob first.
00:10:21.480 I love it.
00:10:22.460 I love it.
00:10:23.200 So here's what we're doing.
00:10:24.440 They're both limited, black and white.
00:10:26.960 If you order both, we're going to send you one of the shirts.
00:10:29.760 The Future Looks Bright.
00:10:31.140 Rob, if you can click on the link, go to it.
00:10:33.100 Click on the hat.
00:10:33.900 I think they're numbered.
00:10:34.780 It says 150.
00:10:37.220 Zoom in on the hat on the side.
00:10:38.480 Keep going, keep going, keep going.
00:10:40.280 150.
00:10:41.080 Numbered out of 150, each one of them.
00:10:43.280 So black and white.
00:10:44.660 If you order both, you can pick a shirt.
00:10:46.960 White or black, we'll send it to you as well.
00:10:48.600 But if you want to order more than that, do so.
00:10:50.700 Always remember what happens with these limited edition stuff.
00:10:53.700 Rob, go to eBay if you can and just tap in Future Looks Bright on eBay.
00:10:56.780 Anything we do, limited edition, they go within 45 minutes to an hour.
00:11:00.580 Wow.
00:11:01.060 In no time.
00:11:01.760 Go to Future Looks Bright and then press search.
00:11:04.740 And then go to the right if you can search by price.
00:11:07.440 Highest.
00:11:08.480 Okay.
00:11:08.920 One more.
00:11:09.600 Look at this.
00:11:10.680 Look at these hats.
00:11:11.520 $9,800 hat.
00:11:12.500 Stop it.
00:11:12.980 I'm telling you.
00:11:13.700 Number.
00:11:14.660 $3,000.
00:11:15.620 That's hats out of 50.
00:11:16.820 So, you know, they're numbered.
00:11:18.840 They're limited edition.
00:11:19.660 They end up over here for people that want to pick them up or sport them.
00:11:22.560 If I'm you, like when I buy something nice, I'm going to wear them.
00:11:25.680 If you believe the future looks bright, go to vtmerge.com.
00:11:29.340 Place your order on these hats.
00:11:31.040 They're limited edition.
00:11:31.900 One out of 150.
00:11:32.720 Each one of them.
00:11:33.820 Get it for yourself.
00:11:34.580 Get it as a gift.
00:11:35.680 Christmas is around the corner.
00:11:36.660 This could be something you can get for someone who's a big fan of the PBD podcast, Valuetainment,
00:11:41.940 who's also optimistic, that believes the future looks bright.
00:11:45.360 If you enjoyed this video, you want to watch more videos like this, click here.
00:11:48.000 If you want to watch the entire podcast, click here.