AUTOS: The Logical Thing

Auto interest rates will soon be boosted. For 20 years, interest rates stayed at an average 6%. Last year tighter money nudged up the average to 6½%. Now, with banks charging a record new 4½% prime rate, finance companies are paying more than ever for the money they lend to dealers, and are getting ready to raise rates. Said President Arthur O. Dietz of Commercial Investment Trust: "We've been discussing it, though I can give no time or date when we might raise the rates." With money costing more, added President Charles Stradella of General Motors Acceptance Corp., "it's...

Want the full story?

Subscribe Now


Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!