Car dealers mark up interest rates to make an extra buck. Studies show minorities are charged higher markups.
"Marking up interest rates on vehicle loans -- while legal and common -- is emerging as a controversial practice that costs unsuspecting consumers up to $1 billion a year. Consumer advocates say markups are at best deceptive and at worst discriminatory. At least a dozen potential class-action lawsuits allege that some dealers, in cooperation with lenders, routinely boost loan rates higher for blacks and Hispanics than other customers."
Thanks to Richard Layman
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