>A rising number of Americans are unable to make the monthly payments on their car or truck loans and are in danger of having their vehicles repossessed, according to data released this week by the New York Federal Reserve.
>There are 6.3 million Americans who are 90 days late — or more — on their auto loan payments, up about 400,000 from a year ago.
>When someone gets so far behind on their payments, they typically end up losing their vehicle.
>The delinquency rate on auto loans has been steadily rising since 2011, a red flag at a time when the unemployment rate has been falling. The unemployment rate is 4.1%, the lowest level since 2000. As more and more Americans get jobs and income coming in, it should be easier for them to pay their bills. But the rise in auto loan delinquencies is a reminder that millions are still struggling to make ends meet.
>Many of the people who can't pay their car loans have bad credit scores — lower than 620 on an 800-point scale. They don't have many options to get money to buy a new or used car and often end up getting a subprime auto loan that comes with an interest rate of 15% to 20%.
6.3 million Americans are 90 days late on their auto loan payments
I knew I saw too many muds around here driving cars too nice for them. Same talmudic BS as the subprime housing loans. I bet these auto loans are backed up by our taxes too somehow, so when they default the bankers get paid twice
Paying cash for cars is the best way to go
and buying used. You'll be surprised how many dumbasses drive a car for 2 years then trade it in at a huge loss.
I see Mercedes S classes for 30,000 when they normally cost 80,000.
Also just like the college loans, this has allowed them to increase the price of cars, so they get paid on the back end of the deal as well via stock ownership in the auto manufacturers
I wonder how many of these loans are related to the "cash for clunkers" scam from the obama era
>tfw your first and only car runs well and was bought in full at the time of purchase.
6.3 million is nothing.
I'm a month ahead
Financing isn't bad if you know how to manage your money. There's a cost but it's convienent if you don't want to dig into your free cash.
i wouldn't trust the previous owner enough to buy used. buy new and make it last for 20 years.
Checked
>yfw can fix your own car so it runs 300k
that's the great thing about pickup trucks. parts literally everywhere.
This isn't sustainable. We're one solid recession away from a collapse.
Because the idiots are getting car loans with payments over 400 a month.
Fucking retards.
I buy with cash and hold the title.
Luckily far the percentage that these loans makeup in the market is a fraction of the sub-prime housing peak. It's a bubble but won't have catastrophic effects.
>submitting to the automotive jew
The problem is if a recession occurs that makes it impossible to pay back any type of debt. This is going to be disastrous.
Our society and infrastructure is automobile centered. There's very few places you can successfully exist in this country without one.
>allowing your entire country to submit to the automotive jew
These were decisions we made in the 40s and 50s. While I would prefer a system centered around public transportation, it would probably have been sustainable if we continued down the path of The New Deal/Great Society.
>The problems with car loans are unlikely to cause another financial crash. The auto loan market is much smaller than the mortgage market. The average car loan is about $30,000, according to credit rating company Experian, compared with more than $220,000 for the average home loan, according to the National Assn. of Realtors. Still, economists and Wall Street bankers have been keeping watch on how many people are having trouble paying their car loans because they believe it's an early warning sign of economic distress.
Sheeeeit. You mean I gots to pay fo dis?
Kys kike
A guy on /o/ who was a car salesman posted a bunch of stories pretty much confirming all of this.
Hopefully it hits at the same time as student loans. Anyone putting money in the market instead of crypto is a mongloid retard.
You ain't getting that vigorish, Shlomo. Eat the loss.
Noice
My shit's paid for. Not my fault most people are dumbass's who go out and buy a new car every year or two.
I work for a company that repairs credit and get to view credit reports all day long. The top two unpaid and delinquent accounts on people's reports are student loans, and repossessed cars.
I really believe the next big drop in the stock market, worse than 2009, is going to be because of student loans.
If you have any questions about your credit report ask me.
I've paid off all collections on my account, by credit score won't go above 700, no matter what I do (open new credit cards, keep credit usage below 10%, make on time payments) Do I have to wait for these things to fall off completely? The collections still show up, but appear as "paid", is there any way to have them removed since they are paid off? Or do I have to just wait until the 7 year mark?
Is it true that paying you credit card in full every month is the best/fastest way to build good score?
>I really believe the next big drop in the stock market, worse than 2009, is going to be because of student loans.
I think it's going to start as something else, but student loans will thrust it into a full blown depression.
Not that guy, but as long as you make payments on time, and keep your credit usage below 10% of your available credit, your score will go up. Mine did.
>having loans
shiggy diggy
Definitely better than paying off the minimum amount of, what's usually, $25 dollars. Being the fastest way to build your credit, no. Any new credit accounts that you open will affect your credit score negatively for 3 months.
Payment history is only 35% of your score. Take a look at pic related.
Since you paid your collection accounts you kind of skrewed yourself. Paying negative accounts basically tells the 3 credit bureaus that you're accepting the debt as yours because you're willing to pay it off.
It's possible to get it removed, Google "collection account removal templates" and that'll will put you in the right direction. Since it's payed its not likely. You're best bet to raise it would be to stop putting inquiries on your credit, thats makes you loose 2-10 points depending on if they're hard or soft. Another thing you can do is to completely go over all of your payment history and make sure it 100% correct, if it's not, send more letters to the 3 bureaus and have them correct it. I would really have to look at your report because I feel like there is something that you're not seeing that's keeping it from raising
Forgot to post pic. Working on all these things and your credit score will raise.
Also, I'd you have credit cards and your recent history is good, contact your all your banks and request that they raise your credit card limit. That really helps a lot.
I am in my mid 20's, make 60k per year, I have never had any loans or debt of any kind. Capital one's credit estimator says my score is 720.
I have had one credit card for about 3 years, but with a very small $500 credit limit.
I am thinking of getting another credit card with a higher limit, can you please recommend me a good card to get with no annual fee that I will be approved for? I don't want to apply for a card and be denied, since I think that can negatively impact my credit score.
Thanks.
Interesting. Thanks