Wait, I thought GMAC was supposed to be this ‘cash cow’? what’s up wit dat?

sounds kinda wack don’t it gangsta.

I’ll blame the UAW.

Dude, most of these banks are a fing rip off anyway. Go and open a savings account, they only give like 1% interest on a year’s worth of them borrowing YOUR money. Screw them.

400HSS, GMAC is about money so it’s not the UAW, it’s the JewAW.

Ohhhh, your such a racist MRN. Why do you have to put people down like that. Aren’t you sensitive to others feelings? Just kidding.

LOL HemiR, mayer_ray. Oh, wait, on behalf of my fellow Canadians I find nothing humorous in your telling it like it is…er I mean I’m offended by your remarks. Oh f*ck it, nevermind. It was funny.

If a turtle loses its shell is it naked or homeless?

Does a man with one foot ever wait for the other shoe to drop?

Q: If a turtle loses its shell is it naked or homeless? A: HemiRetardRunner

A turtle that loses its shell is tonite’s soup.
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xyunya = the moron of the say until 1115 shows up.

If a Peace Officer loses his job can he still cop a feel?

Bet Kofi Annan is trying to get a Piece Officer job.

Gotta love the whole “We’ll be profitable next year.” statements.

Isn’t the whole point of a company to make money? If you are losing millions and hundreds of millions each year how do you afford to keep the doors open and the lights on?

mayer_ray_nagin, if I am a moron, then you elevating yourself to genius or clown? or both?

I heard this bit of info from a financial advisor. He claimed part of what happened was the continual need for the reassessment of houses. If people had say a 80k mortgage on their house, and it was appraised at 110k a few years later, the banks were allowing them to take a 30k loan on the remainder. They were/are using this money on all sorts of ****, like they won the lottery. This, in his mind, was one of the biggest reasons why things in the mortgage/banking market are as ****ty as they are.

hateful83, it is correct but only small part of mortgage crisis. Banks did the same things as greedy consumers: they sold 110k mortgage as guaranteed security with 0% risk of defaulting because home prices never (for the last 10 years) went down. Those guaranteed securities were purchased all over the world. With prices of houses going down (not necessarily bankruptcy) investors are questioning what they’ve bought and asking refunds. Now banks are going under.

I was joking fellas.

I know 400, not all of us are nerds.

to the first comment – nooo…you are about 3 years behind because that is when GMAC was a cash cow for GM. They made a good move by selling more than half of it.

Did anyone else notice whos backing GMAC, HSBC. And don’t forget the housing division of GMAC, Ditech.

GMAC is taking it on the chin: housing AND default rates from car loans and leases. Don’t forget that cars on dealer lot are OWNED by bank (GMAC). Dealer pays discounted interest. And in this climate, how do you lend to someone? So whatever part GM did not sell, they do wish now they did.

autonut – I also don’t think that they should have sold “whatever part they didn’t sell”. This housing thing will go away eventually just like the dot com companies were down but now they are doing fine (well, they too are affected by the slowing economy, but they remain largely profitable). Some smaller players involved with housing (lenders and builders) may go under, but bigger companies like GMAC will stay around and bounce back from all this. Like I said, GMAC was a cash cow for GM years ago, now they are a drain on their profits, and soon in the future they will stabilize. Leaving yourself without a lending division is not a smart move.

Well… if there’s any good news in all of that, it’s that their auto-financing division must still be turning a profit… at least that and whatever other divisions they have, since their mortgage subsidiary lost 800-some million but they only lost 500-some million overall. Either way, we’re on the brink of a recession folks… while it may get worse before it gets better, it will get better nonetheless – we’ve lived through the “R” word before and we’ll live through this one.

If nothing else, it’s a much needed reminder to all of the younger folks that the best thing anyone can do is save their pennies… at least that’s what the wife has brainwashed me to say over the years – lol.