Finally A Good Idea From the Auto Industry but Still Playing Catch Up

While it's much easier to ask the government for money it isn't going to get people buying cars again. Fear of losing a job is one of the major reasons people drastically reduce spending. This is especially true for big ticket items like houses and cars. In order to combat this, Hyundai, a Korean car company introduced the "Hyundai Assurance" program. You have probably seen their commercials. This is from their website,

"Finance or lease any new Hyundai, and if in the next year you lose your income*, we'll let you return it. That's the Hyundai Assurance.

At Hyundai we think it's easier to find a job when you've got a car. That's why, for a limited time, we expanded Hyundai Assurance, and we've added...something extra. A plus, as in Hyundai Assurance Plus. If you lose your income, we'll make your payments for 3 months while you get back on your feet, and if that's not enough time to work things out, you can return the car with no impact on your credit."

And guess what...Hyundai was one of three car manufacturers to increase sales last month and. Trust me, GM and Chrysler weren't the other two.

Today, AutoNation announced a similar plan. They are calling it the "Payment Protection" program and it will take affect at their 300 car dealerships. I would like to see more "outside the box" thinking like this instead of the all too common plan of just throwing up your hands and cutting costs (ie. jobs).