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Updated: 10:33 a.m. Friday, June 27, 2008 | Posted: 7:01 p.m. Thursday, June 26, 2008
EL PASO, Texas —
Repossessed vehicles don't fit inside a yard in Central El Paso anymore.
"Once we got past tax season and the stimulus package, it's gotten real busy," said Ed Hanna, manager of MPH Recovery.
Hanna said his work has increased. His employees work 20-hour days sometimes, and they went from picking up 20 cars a week to 30. Hanna said it will only get busier, and he has the economy to thank.
"It just cost so much for fuel. The fuel is a problem for a lot of people. Mortgage rates. We're noticing we're picking up a lot of cars at newer houses," said Hanna.
The repossession business is booming, and everyone else of us could be losing. When a car gets repossessed, the bank loses money on it. In order to soften that blow, it passes on the cost to us. And that cost comes in the form of high interest rates, which brings us back to one of the reasons cars are repossessed.
"People got in over their heads. When the economy gets bad for everyone else, it's good for the repossessor," said Hanna.
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