2004 Chevrolet Cavalier on 2040-cars

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Subprime financing on the rise in new car sales, leasing too

We all remember the financial crisis that began several years back. At its core was a splurge of subprime lending for housing loans. The housing bubble burst, triggering a collapse of the mortgage-backed securities market. Apparently, those types of loans still exist in the automotive industry, and the market share for these types of "nonprime, subprime, and deep subprime," loans has grown 13.6 percent compared to the third quarter a year ago.
According to an Automotive News report, high-risk lending expanded to 24.8 percent of total loans in Q3, up from 21.9 percent for this time last year. As this level increased, average credit scores of borrowers dropped to 755, down from 763 a year ago. In that time, the average financing amount increased $90 per vehicle, to $25,963.
At 818, Volvo maintains the highest per-owner credit score, while Mitsubishi has the lowest, at 694. The highest rate of borrowers was at Toyota, with 14 percent of the market, followed by Ford with 13.1 percent and Chevrolet at 11.1.

Plug In 2014: VIA makes the case for 'free' plug-in hybrid work vans, trucks

If you're a fleet manager who's been waiting anxiously for the chance to buy a plug-in hybrid van from Via Motors, your wait is almost over. If you work for the right fleet, anyway. David West, the chief marketing efficer for VIA Motors, took AutoblogGreen for a ride around the San Jose Convention Center in a Via van sporting an Electric Blue paint job as part of the Plug In 2014 Conference this week and gave us an update on how things are coming along. The big news is that the Via PHEV van production is going to start by the end of September. Via can currently build two vans an hour at its production plant in Mexico, or about 16 a day and could easily double that. "That would get us to 20,000 a year with two full lines running," West said. "We have the capacity." "There is no way gas can compete with electric." – David West, Via Motors But they can't sell that many quite yet. By the end of December, around 350 Vans will be made, mostly for a $20-million program from the Department of Energy (DOE) and the South Coast Air Quality Management District that will see the vehicles used by fleets that will report energy data to the Idaho National Lab. Via is also finishing up CARB certification for both the van and the company's plug-in hybrid pick-up truck. About 50 percent of Via's technology in the truck will not need to be tested again, since it's the same as what's in the van, but things like crash tests will need to be done twice. Despite the progress, this is not where Via hoped it would be today. The bankruptcy of battery supplier A123, "took about a year off our timeline," West said. "It's been getting a little slow getting it to market, there have been some challenges, particuarly since we had the country's worst recession right in the middle of this wrap up, but it's inevitable in my mind. There is no way gas can compete with electric." Maybe that's why FedEx has expressed an interest in buying around 5,000 units, West said. FedEx already has some pilot vehicles, just like Verizon does, and PG&E wants to replace all of their gas trucks with electric vehicles, which would be another 3,000 sales, he said. Besides the fuel savings, vehicles like these, with easy on-site power generation, could also work wonders in post-disaster situations, he said, since they could replace the need for generators.

Recharge Wrap-up: U of M wins Solar Challenge, family attempts record-breaking e-bike ride

The University of Michigan Solar Car Team has won the 2014 American Solar Challenge. It is the team's eighth national championship, its fifth in a row, and its first using Siemens' product lifecycle management (PLM) software. The race took place over 1,722 miles and seven days traveling across eight states. The team's car, called "Quantum," outpaced the nearest competitor by four hours. Looking forward, Michigan Solar Car Project Manager Pavan Naik says, "The switch to Siemens tools will give us the ability to model and simulate everything and truly allow us to optimize the performance of our new vehicle. As we start on our quest to win the World Solar Challenge in 2015, we'll be leveraging a full complement of PLM solutions." Read more in the press release below. The EcoCar3 competition, in which teams will convert Chevrolet Camaros into hybrid electric cars, begins in September. The various college teams will have four years to lessen the car's environmental impact as much as possible while maintaining performance and, of course, that cool Camaro design. EcoCar3, which is put on by the US Department of Energy and General Motors, kicks off with a workshop in Novi, Michigan from September 16 - 18. Read more at the DOE website at the dedicated EcoCar3 site or watch the announcement video at our previous post. Zap and Jonway Auto are shifting to a high rate of EV production. Zap already has two lines creating the Urbee EV to met demand, and is switching over a third to make electric minivans and SUVs. The company aims to produce 30,000 EVs by 2015 for the Chinese market. Zap says it has a backlog of 25,000 Urbee orders. Read more in the press release below. A family of four hopes to make a world record-breaking, 6,000-mile electric bike journey this fall. The family, which recently drove from Argentina to Montana in a pickup with a camper, will ride from Montana to Maine, then down the East Coast to Florida in an attempt to break the record for longest electric bicycle ride. They'll use two bikes. The Father, Thomas, will ride one of the bikes carrying one of the children, while the rest of the family rides in a support vehicle, with the mother, Dylan, riding the second bike when they can find others to drive. They have started a crowdfunding campaign for some of the equipment needed to document the trip. See the video below or read more at Treehugger.