Car owners behind on loan payments
July 6, 2017
I’m Miriam Neff-with STARTING OVER FINANCIALLY,-and I’m Valerie Neff Hogan, and we’re here to talk about money
M Current data says more than a million US consumers have fallen at least two months behind on car loan repayments. This is the highest delinquency rates since 2009!
V Lets look at the numbers. About 4.3 million Americans took out a car lease or loan last year. The average borrower has about $18,400 in auto debt. A popular trend has been longer payments at lower amounts. Which means you’ll likely be ‘underwater’ at some point. Still owing when the cars value is less than what you owe.
M Our recommendation. Drive the vehicle you have as long as possible. Save and shop carefully. If you must borrow, make it for a brief time.