Late payments on cars and home equity loans continue to rise. Why? Because of the damn deadbeats that buy more car than they can afford and the damn deadbeats that live far beyond their means. If you don't have cash then don't buy it. This rule should apply to pretty much everything in your life with the possible exception of a house or other large business venture. How does this affect you if you have good credit? One, you pay higher rates and more fees so the banks and lenders and can offset their losses. Watch, the fees on checking and other banking that disappeared will reemerge as the banks struggle with bad loans. It also affects most money that you have invested as the stock market continues to react poorly to the poor homebuilding numbers and the number of loans going bad. If you don't have the cash for that new pair of shoes ladies or that new car guys than don't damn buy it.
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