A 32% APR Loan Over 10 Years Ended With His Grandfather's Car Being Repossessed. People Ask, 'Who Gave Him This Loan? The Mafia?'

Core Insights - A concerning case of predatory lending was highlighted, where an elderly individual faced severe financial distress due to a 10-year auto loan with a 32% interest rate, leading to car repossession [1][2] - The total amount paid by the grandfather over eight years was over $62,000, with projections indicating that if the loan were completed, the total repayment would reach $77,400, raising alarms about the sustainability of such lending practices [4] Loan Terms and Concerns - The loan's terms were criticized as excessively high, with community members questioning the legitimacy of a 32% interest rate on a collateralized loan, likening it to loan shark practices [2][4] - There were significant concerns regarding the grandfather's cognitive health, with suggestions that his inability to manage payments could indicate potential dementia or cognitive decline, prompting discussions about financial guardianship [2] Community Reactions and Recommendations - The community was divided on how to proceed, with some suggesting to let the repossession stand and walk away from the loan, indicating a broader discussion on the implications of such financial burdens [5] - The situation has sparked a conversation about the need for better financial oversight for vulnerable individuals, particularly the elderly, to prevent exploitation by predatory lenders [2][4]