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  • 08.08.17

Uber reconsiders its subprime car-leasing program

Uber is considering the fate of its subprime car-lease program. The company could dissolve the unit altogether or sell it off. Xchange was designed to help attract drivers despite their credit history and access to capital, and it has garnered attention for its high weekly fees. But it turns out the program wasn’t just costing drivers gobs of money—it was also costing Uber. When the company first started the service, it expected to lose around $500 per vehicle, a report from the Wall Street Journal says. But actual losses totaled $9,000 per car. The news comes as Uber is trying to mitigate losses and reorient the business to be more supportive of drivers. An Uber spokesperson did not want to comment on the record about the status of the program.RR