the average cost of a car has gone up an incredible amount. And what we're seeing is then the average loan value for auto loans has increased more than any other loan value. And that may sound like okay, but if you think about it, mortgages tend to be the one that grows the most because house prices have appreciated so much over time.So the fact that the average auto loan has grown more than the average mortgage has over that 15-year period is telling. Okay. Secondly, obviously there is this double whammy.S ...

28% of all student debt is owned by this like this avocado toast generation. They don't have assets. So on average, they have 15% of the assets that someone over 55 will have.So they have all of this debt, no equity, no way out. And 35% is the number that owns that's in terms of all the auto debt they own too to your point of car payments. So as the gear head that you are, auto auto loans have been pretty clean, right.there haven't been a lot of uh delinquencies or default prime auto loans. I think that's t ...

When auto loans suffer losses they are “dramatically higher” than losses in other types of consumer credit products, according to a recent analysis by the credit bureau TransUnion https://t.co/lFNy17s1Yp ...

Car repossessions are on the rise as delinquency rates on some auto loans hit record levels.We spent the night shift with the repo man, who is busier than ever.🔗: https://t.co/NPUpqTHqKF https://t.co/jDXkakgH2S ...

Market Trends & Consumer Behavior - The share of new cars costing more than $50,000 has almost doubled compared to six years ago, indicating a shift towards higher-priced vehicles [1] - The share of buyers with incomes over $150,000 made up 12% of all car purchases in 2025, significantly larger than other income groups [8] - There are more vehicles for sale above $100,000 than below $30,000 in the US market [9] - Consumer sentiment among high-income adults has shown recent decreases, potentially signaling a shift in the high-end market [27] Financial & Economic Factors - Dealer profits increased by 20% in Q2 2025, but economists are concerned about the reliance on a smaller share of consumers [2] - The average monthly loan payment was $749 in Q2 2025, almost $200 more than in 2019 [4] - Approximately 15% of monthly car payments, including leases and loans, exceed $1,000 [5] - Tariffs are adding up to $5,700 to the price of each imported vehicle, disproportionately impacting lower entry-level models [11] - Auto loan delinquencies have increased year over year since 2021 [23] Industry Dynamics & Challenges - Automakers prioritized higher-priced vehicles during the chip crisis to maximize profits [10] - Rising interest rates and a credit crunch are pricing many people out of the new vehicle market [17][18] - The regulatory environment and homologation requirements contribute to the high cost of vehicles [6] - Chinese manufacturers may offer a source for less expensive vehicles, despite US tariffs [30][31]

Household Debt Overview - Household debt increased by 1% to $18.4 trillion [1] - Overall delinquency rates remain relatively modest, excluding student loans [2] Delinquency Rates - Auto loan and credit card debt delinquencies remain elevated [1] - Student loan debt that is 30-day delinquent surged to 13%, previously 1% in Q4 during the forbearance period [2] - Credit card agencies are reporting delinquencies around 13%, up from 8% in Q1 [2] - 90-day mortgage delinquencies increased to 1.3%, the highest level since Q4 2016 [3] Potential Economic Weakness - Potential economic weakness is a concern regarding student debt and its knock-on effect on credit card issues and credit reporting [3]