Close Menu
Fox Global – Breaking News, Insights & Trends
  • Home
  • Crime
  • Entertainment
  • Health
  • Lifestyle
  • Opinion
  • Sports
  • Travel
  • US
  • World
What's Hot

Doctors warn against dangerous coffee enemas trending on social media

July 15, 2025

Fox News falls in line with Trump’s Epstein plea — but will the rest of MAGA media comply?

July 15, 2025

Trump tries to rewrite history on being ‘fooled’ by Putin

July 15, 2025
Facebook X (Twitter) Instagram
  • Home
  • About Us
  • Advertise With Us
  • Contact Us
  • DMCA Policy
  • Privacy Policy
  • Terms & Conditions
Fox Global – Breaking News, Insights & Trends
  • Home
  • Crime
  • Entertainment
  • Health
  • Lifestyle
  • Opinion
  • Sports
  • Travel
  • US
  • World
Fox Global – Breaking News, Insights & Trends
Home » Late car payments rise to highest level in over 30 years

Late car payments rise to highest level in over 30 years

adminBy adminMarch 7, 2025 Lifestyle No Comments3 Mins Read
Share
Facebook Twitter LinkedIn Pinterest Email
Post Views: 50


FOX Business’ Jeff Flock reports on the latest news emerging from the auto industry as data reveals insurance prices have surged year-over-year.

Missed payments on auto loans by American car owners rose to the highest level in three decades earlier this year.

The percentage of borrowers with subprime car loans who are at least 60 days past due on their loans increased to 6.56% in January, which was the highest level since data collection began in 1994, according to Fitch Ratings.

The share of 60 days past due subprime auto loan borrowers has remained above 6% since August 2024 after breaking the 6% threshold for the first time early last year. It previously approached the 6% mark in 1996, 2019 and 2023.

The increase in the number of borrowers struggling with auto loans comes as consumers continue to struggle with the impact of the inflationary pressures the U.S. economy has experienced in recent years, which have strained Americans’ household budgets. Higher interest rates aimed at bringing inflation down also made new auto loans more expensive for borrowers.

AUTOMAKERS GET 1-MONTH TARIFF EXEMPTION, WHITE HOUSE SAYS

car dealerhsip

Subprime auto loan delinquencies rose to a record level in January, Fitch Ratings reported. (Brandon Bell/Getty Images / Getty Images)

A recent analysis by the Federal Reserve Bank of New York found that auto loan balances have grown steadily since 2011 and increased by $48 billion in 2024 due to an inflow of newly originated auto loans.

“Nearly all borrower groups have seen delinquency rates rise beyond their pre-pandemic levels,” the NY Fed wrote. It noted that borrowers with credit scores between 620 and 679 saw their likelihood of becoming delinquent in a given quarter rise from about 2% before the pandemic to 4% in 2024.

The report found that consumers are “in pretty good shape in terms of the household debt landscape” with stable balances and solid performance in mortgage loans – but noted issues with auto loans.

CAR PRICES COULD RISE $12,000 DUE TO TRUMP’S LATEST TARIFFS

AutoNation location

High car prices and elevated interest rates have strained borrowers with auto loans. (Bridget Bennett/Bloomberg via Getty Images / Getty Images)

“However, for auto loans, higher car prices combined with higher interest rates have driven monthly payments upward and have put pressure on consumers across the income and credit score spectrum,” the NY Fed explained.

“The episode of rapidly rising car prices has had heterogenous impacts on borrowers, who have shifted between used and new cars as well as between loans and leases. These shifts have put additional pressure on lower-income and lower-credit-score borrowers who may have had to opt for higher-priced used cars over the last few years,” the economists wrote. 

“Used car prices have since declined from the peak, potentially leaving some borrowers underwater on those vehicles and creating potential repayment challenges,” they noted.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

The New York Fed reported in February that among all borrowers of auto loans, the share of borrowers who entered serious delinquency with payments at least 90 days past due increased to 3% in the fourth quarter of 2024, which was the highest level since 2010.



Source link

admin
  • Website

Keep Reading

Lumber prices and tariffs at center of US housing market debate; groups clash

US debt a ‘real problem’ for bond markets, warns JPMorgan’s Dimon

Treasury Secretary Bessent vows US will never default on national debt

Trump warns court ruling against tariffs could cause ‘economic ruination’ of US

Egg prices drop 61% since January, now $2.52 per dozen after March peak

Trump says Pakistani officials visiting US to negotiate tariffs

Add A Comment
Leave A Reply Cancel Reply

Editors Picks

Analysis of WSANDN’s Economic Initiative and Global Implications.

April 12, 2025

World Subnationals and Nations (WSandN) Negotiates Historic Economic Growth Partnership with 180 Countries.

March 27, 2025

Global Economic Council: Buffet, Musk, Zuckerberg, Bezos, Bernard Arnault, and Other Global Billionaires Named on Board to Drive Local Economic Growth Worldwide.

March 6, 2025

WSANDN’s EGCR and GPA Initiatives: Paving the Path to Global Peace & Unlocking $300 Trillion in Economic Prosperity.

March 5, 2025
Latest Posts

Jessica Alba vacations with ‘Top Gun: Maverick’ actor Danny Ramirez: report

July 14, 2025

Elizabeth Hurley shows off tan string bikini, shares 7am photo secret

July 14, 2025

Rosie O’Donnell ‘proud’ to oppose Trump in decades-long public feud

July 14, 2025

Subscribe to News

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Welcome to Global-Fox.com
At Global-Fox.com, we bring you the latest insights and updates on politics, world affairs, opinion pieces, entertainment, lifestyle, health, and travel. Our mission is to provide in-depth, fact-based journalism that informs, educates, and engages our audience.

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Facebook X (Twitter) Instagram Pinterest
  • Home
  • About Us
  • Advertise With Us
  • Contact Us
  • DMCA Policy
  • Privacy Policy
  • Terms & Conditions
© 2025 global-fox. Designed by global-fox.

Type above and press Enter to search. Press Esc to cancel.