"I assure you, disabling one's transportation and, thus, reducing one's likelihood to arrive to work on time does not reduce delinquency." You are correct, of

"I assure you, disabling one's transportation and, thus, reducing one's likelihood to arrive to work on time does not reduce delinquency." You are correct, of course, for any one particular borrower. However, I suspect the aggregate delinquencies drop as marginal "delinquents", aware that their car is going to cease functioning, adjust their behaviors throughout the month, etc., to make absolutely sure the car payment is made. I'm not defending the practice, I merely suggest that your (correct) observation about individual borrowers doesn't negate a net-positive result for the lender.