Wall St. not helping out dealers with credit issues

The roller coaster (that's an understatement) of the week with the American stock market not only has investors biting their nails down to the knuckle, but it's not helping any car dealers either. From talkingmotors: "BMW, Honda, Daimler and Toyota have a huge competitive advantage over their domestic-brand rivals," said Cosper.

"The captives of General Motors, Ford and Chrysler LLC have lower corporate debt ratings and rely more heavily on the asset-backed securities markets to raise money to make loans. Their cost of funds has skyrocketed."

Basically, what this translates into is that the floor plan rates for the big three, which means that for those that are shopping prices, that the dealers that offer these cars are already behind the eight ball--and that's before you even consider the difference in the quality of cars.

This is not surprising, considering that the big time up and downs that the volatile stock market has undergone over the past, say, year, that the Big Three, which make up a huge conglomerate of financial stake in the US economy, is basically impacting it the way it has.

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Wall St. not helping out dealers with credit issues

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