this post was submitted on 03 Jan 2025
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The notorious short seller published a report titled “Carvana: A Father-Son Accounting Grift For The Ages.”

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[–] TommySoda 15 points 1 month ago (3 children)

I bought a car through them a few years ago during COVID but I'm still paying it off. I wonder what would happen if the company went under. People's loans and shit would probably just get picked up by other companies, right?

[–] Bassman1805 22 points 1 month ago

Yes. Owning debt is an asset that will certainly be purchased when a company is liquidated.

[–] UnderpantsWeevil 11 points 1 month ago

They sell their debt, primarily to Ally Financial. That's how they generate the bulk of their operating income. So you'd still be paying.

[–] PlantJam 3 points 1 month ago

Same. Based on the experience, I'll never set foot in a dealership again.

[–] homesweethomeMrL 7 points 1 month ago

Wow that's audaciously skeezy.