‘Finances are getting tighter’: US Car Repossessions surge as more Americans default on auto loans

[Champion]

‘Finances are getting tighter’: US car repossessions surge as more Americans default on auto loans

Wall Street sounds alarm over strain throughout car lending market as experts warn of potential risks for wider economy

www.theguardian.com

An estimated 100 million Americans hold auto loans, with 85% of new car purchases and 55% of used car purchases financed. It is the third-largest consumer credit market in the US, behind mortgages and student loans.

Problems in the auto loan industry have been manifesting for several years, as car prices rose sharply during the Covid-19 pandemic while inflation soared and interest rate increases followed. Paying off a new car required 42 weeks of income in 2023, according to Cox Automotive, up from about 33 before the pandemic.

High prices meant bigger loans. The average monthly repayment now stands at more than $750.

Car repossessions surged to their highest level since 2009 last year, according to Cox, with 1.73m vehicles seized, up 16% from the year prior and 43% from 2022.

Shyt is getting crazy out here...

 

[get these nets]

@ 57 second mark is what youre looking for

I tried to get away, but I didnt get far......

 

[Ezekiel 25:17]

You can get a slight used Kia Rio for $15,000. Payments would be $300/month. Good gas mileage and all the necessary amenities to get you where you need to be. Its not flashy, but its reliable and will allow you to build assets. Once established with a decent career, then you get you the car you want

 

[ORDER_66]

crazy... plus all these new car prices are going for 50K in this economy... can't keep up... im also noticing all these cheap used cars are disappearing too... gonna get harder

 

[WIA20XX]

Who's got that wholesale license?

Foreclosed Houses
Repo'd Cars
All types of electronics for pennies on the dollar (like this Windows 10/11 got folks Bird Manning over all the new "e-waste"

It's time to get money my bre(a)ddas

 

[DonB90]

You can get a slight used Kia Rio for $15,000. Payments would be $300/month. Good gas mileage and all the necessary amenities to get you where you need to be. Its not flashy, but its reliable and will allow you to build assets. Once established with a decent career, then you get you the car you want

Man how I suppose to bag broads whippin that

 

[Mike Nasty]

You can get a slight used Kia Rio for $15,000. Payments would be $300/month. Good gas mileage and all the necessary amenities to get you where you need to be. Its not flashy, but its reliable and will allow you to build assets. Once established with a decent career, then you get you the car you want

You're better off with Honda, Toyota or Mazda if that's your goal.

 

[Ezekiel 25:17]

crazy... plus all these new car prices are going for 50K in this economy... can't keep up... im also noticing all these cheap used cars are disappearing too... gonna get harder

Nah, there's plenty of cheap cars.

 

[Ezekiel 25:17]

You're better off with Honda, Toyota or Mazda if that's your goal.

Get whatever you can get, there's no lack of options.

Hyundai and Kia are reliable now.

 

[ORDER_66]

Nah, there's plenty of cheap cars.

I'm saying in general in MY area... alot of the used cheap lexus IS models are all gone... like down the line they slowly getting bought, lexus and toyotas

 

[Ezekiel 25:17]

I'm saying in general in MY area... alot of the used cheap lexus IS models are all gone... like down the line they slowly getting bought, lexus and toyotas

Lexus is a premium car, you shouldnt be buying that for a budget car

 

[LDC]

Get whatever you can get, there's no lack of options.

Hyundai and Kia are reliable now.

Reliable to get stolen.

 

[trapnerd]

All new cars are to expensive, to complicated to fix, and the loan terms are to long.

People are getting 7 year loans, warranty runs out after 3, then shyts starts breaking. The first few repairs are minor things, then they get hit with a 8k trans replacement because the “lifetime fluid” in the trans really was not lifetime.

Now they have a car with $700 a month payments that they can’t afford to fix.

May as well default on the loan, go to a buy here pay here, and get another car.

Wash, rinse, repeat.

 

[ORDER_66]

Lexus is a premium car, you shouldnt be buying that for a budget car

I also mentioned toyota too...

 

[Tribal Outkast]

Cars since like 2013 have everything you need and then some. I’ll never buy a new car again if I can help it. It’s easy to find something good that’s in your price range