A Ford Motor patent application lists a variety of ways to combat bad auto loans. Includes vehicles that could be repossessed.
What would you get if you combined Repo Man with The Terminator?
We’re not sure, but Ford (F) – Get a free reportseems to have been thinking a lot about the idea.
In an effort to combat auto loan delinquencies, some folks at the iconic automaker have let their imaginations run wild and come up with a virtual FrankenFord that would also trigger some sort of weird action when payments stop coming.
The company said in a patent application that when a car is repossessed “the owner is uncooperative at this time and may attempt to prevent the repossession operation.”
“In some cases, this can lead to a confrontation,” the filing said. “Therefore, it is desirable to provide a solution to address this problem.”
The presentation describes technology that could remotely turn off a car’s radio or air conditioning, lock the owner out of the vehicle or honk until the cows come home.
Autonomous vehicles could take off
The patent says the locks can be lifted momentarily in the event of an emergency, so, for example, the vehicle could be driven to a hospital.
But wait. It gets weirder. TO batch rarer
The patent also describes situations where a salvage agency’s computer could communicate with the vehicle’s computer.
A vehicle could move autonomously from the owner’s property to another location where a tow truck could transport it.
Or, in the case of a fully autonomous vehicle, the car could roll out of the owner’s garage and rush to the salvage agency, lending institution, impound lot, or any other designated location.
It’s kind of like what would happen if Robocop got into the repository business and became RepoCop.
The filing comes at a sensitive time, as auto loan delinquencies are rising steadily.
Data from Cox Automotive showed that severely delinquent auto loans in January hit their highest point since 2006.
Auto loan debt is the third largest category of debt after mortgages and student loans.
Auto loan delinquencies are rising
Overall, Americans owe $1.52 trillion in auto loan debt, representing 9.2% of American consumer debt, according to the Federal Reserve Bank of New York.
The Consumer Financial Protection Bureau said in a blog post from February 23 that car prices have risen substantially in the past two years, resulting in larger loans and higher monthly payments.
The agency said recent data shows an increase in auto loan delinquencies, particularly for low-income consumers and those with high-risk credit scores.
The office said it had issued orders to nine large auto lenders to provide information on their auto loan portfolios.
But still, there’s little chance your car will suddenly say “so long, baby” and roar down the driveway all by itself.
Ford said it had no plans to use the technology, saying Bloomberg that “we file patents on new inventions as a normal course of business, but they are not necessarily an indication of new business or product plans.”
See? You do not have to worry…
