The Hidden Markup of Auto Loans: Consumer Costs of Dealer Kickbacks and Inflated Finance Charges
An undisclosed but widely practiced markup of auto finance rates encouraged by the auto industry's captive finance companies and major banks at the time of the sale has cost consumers hundreds of millions and as much as one billion dollars annually. The subjective nature of these markups has also resulted in a well-documented trend of discrimination against African-American and Hispanic borrowers.
Download PDF
