There could be 300 to 400 fewer US auto dealerships by the end of the year. High gas prices are impacting automotive sales, but tight credit is doing even more damage. Leases are particularly tough to get approved--and almost impossible if the vehicle is a truck or SUV. "The banks are all scared to death of them."
People could be faced with paying their credit card balance. "You may suddenly find that the credit card company says we want the money back--all of it now."
Could you wait a couple of weeks for your paycheck? Many companies finance their day-to-day operations on short-term credit. "When that dries up, it will affect all of us."
Minimum credit scores for home loans have shot up from about 680 to 740.
"We certainly could see tight credit having an effect on agricultural production." --Ed Schafer, US Agriculture Secretary
A giant college lender is cutting back to make sure it has enough money to keep lending to students. Other lenders have begun rejecting loan applications they formerly would have approved.