Is The Party Over? Record Number Of New Car Buyers Are Behind 60 Days Or More On Car Payments

More expensive loans aren’t the only reason for automakers to worry, industry analysts are warning. There are signs that more consumers are having trouble handling the loans they’ve already taken out.

With a record number of Americans buying new vehicles last year, lenders logged a record amount of debt on their books. And a growing number of those buyers are falling behind on payments, according to Experian Automotive. While 30-day delinquencies are actually down, the number of motorists two months behind on payments grew sharply.

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MDarringer - 2/10/2016 7:01:05 PM

+1 Boost

When contracts go to 72 or 84 months, all that means is that the customer cannot afford the car. Those contracts exist to move cars and if the lender is lucky, make more $$ on interest.

skytop - 2/10/2016 7:30:59 PM

+4 Boost

NO problem. Bernie Sanders and hussein obamma said the federal government will provide free education, free healthcare, free cars, free food, free drugs, free sex, free phones, free clothes, free childcare, free vacations for the unemployed, free electricity and all you have to do is just give them two little things that you won't even notice being gone...your vote and your soul.

PUGPROUD - 2/10/2016 7:56:02 PM

+1 Boost

You forgot your freedom!

MDarringer - 2/10/2016 8:38:07 PM

+6 Boost

The DeMoncrats don't believe in freedom.

TomM - 2/11/2016 7:55:07 AM

-1 Boost

This Forum is for the discussion of CARS and sometimes other transportation devices(Trucks, etc) - it is not a Political Forum - I believe that it is time to stop the political posturing - BOTH sides have supporters and detractors - and both side have done some very good things and some horribly bad things as well. WE really do not need to hear what side anyone is aligned with - because the individuals running rarely encompass the far right and far left positions that are claimed - and end up NEEDING to meet somewhere in the middle- or get NOTHING done at all.

THere are other places for political discussions - and cars do not take sides.

MDarringer - 2/11/2016 8:48:15 AM

+1 Boost

@Tom M I'll cut and paste that back to you the next time you go political. The wait shouldn't be too long, but we know your affiliation. DeMoncrats always try to shut down political debates they can't win by saying "this isn't the forum for politicial statements" which is itself a political statement.

vogeygolf - 2/11/2016 8:57:57 AM

+2 Boost

Where in the article does it say 60-day delinquencies are at an all-time high? No where. 60 day delinquencies are up, but slightly. We are actually in the golden age of auto loan performance. I think we're probably at the tail end of it, but consumers have been paying auto loans better than ever. I manage a portfolio of auto loans close to $1 billion and our metrics are very strong. Note, I have been in the lending business 32 years, no rookie here who hasn't been through many economic cycles.

LexSucks - 2/11/2016 4:41:00 PM

+1 Boost

AutoSpies = StormFront auto edition