Lower-Income Americans are missing car payments
NYTIMES.COM
delinquency
SUMMARY

More Americans are struggling with car loan payments, particularly low-income consumers. In January, nearly 6.5% of subprime auto loans were 60 days overdue, and repossessions have increased. Borrowers with good credit are also feeling the strain, as rising car prices and interest rates lead to higher monthly payments.

Jennifer Alba illustrates this issue, having lost her job and unable to pay her car loan. Analysts warn that some companies filing for bankruptcy indicate distress among lower-income borrowers. While auto loans make up less than 10% of household debt, performance is expected to worsen due to economic uncertainty.

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