STATEWIDE – Subaru’s recall of several models and an uptick in mortgage rates were among the matters making headlines in Friday’s business news.
Subaru is recalling 640,000 cars that can potentially stall out.
Some 2018 Outback and Legacy models may have a software problem that affects their low fuel indicators, meaning that the cars could run out of gas.
Also, some older model Imprezas and Crosstreks have faulty spings that could affect the engine.
Mortgage rates are on the rise again. Freddie Mac says the average rate on a 30-year mortgage is now just shy of 5 percent, for a seven-year high.
Meanwhile, thee is more trouble on the horizon for Sears.
As the company heads into bankruptcy, it will close another 40 Sears and Kmart stores by next february. That’s on top of the more than 140 locations that are already set to be closed by the end of this year.
And finally, Americans are spending more than ever for used cars. Edmunds says the average price for a used car hit an all-time high of just over $20,000 in the third quarter.
Higher interest rates mean the average used car buyer is also paying a record high payment of about $400 a month.