Americans Crushed by Auto Loans as Defaults and Repossessions Surge
5 hours ago
- #financial crisis
- #consumer debt
- #auto loans
- Auto loan debt in America has reached $1.66 trillion.
- Delinquencies, defaults, and repossessions are increasing rapidly.
- Subprime delinquency rates are worse than during the 2008 financial crisis.
- Monthly car payments are high, with 20% of buyers paying at least $1,000.
- Even buyers with above-average credit scores are struggling with payments.
- Younger buyers are particularly affected, and repossession rates have risen by 43%.
- The CFA warns that auto loan delinquencies could indicate broader economic problems.
- Policymakers are urged to address exploitative practices in the auto lending market.
- Consumers are encouraged to make financially responsible choices, such as buying older cars.