THE NEXT SUBPRIME SINKHOLE

George Will reports:

Right after GMAC became eligible for TARP money, GM reduced to zero the interest rate - for up to 60 months - on certain models. This, of course, penalizes GM competitors, including Toyota, Honda and other "transplants" whose cars are made in America by Americans for Americans, and Ford, which doesn't have the freedom of maneuver conferred by TARP money because Ford isn't taking any.

This redundant evidence that no good deed goes unpunished might be a reason for Ford to take some. Then it could join GM in using taxpayers' money to produce more troubled assets. The New York Times reports that GMAC has begun making loans to borrowers with credit scores as low as 621, a significant relaxation of the 700 minimum score the company adopted just three months ago as it struggled to survive. America's median credit score is 723. GMAC's lowered standards will increase the number of people eligible for its loans by an estimated 50 million.

What should one call loans made to applicants who, three months ago, were thought to be trying to buy more expensive cars than they could afford? How about "subprime loans"?

There's nothing like socialism to reward the unjust.