Auto loan delinquencies are trending up, and if you compare them to other products like credit cards, mortgages, and personal loans, you see that they have the highest delinquency rates of any product.
Dr. Rikard Bandebo, Chief Strategy Officer and Chief Economist at VantageScore, joined Marketplace to share insights on how consumers today are handling their auto loans.
Car payments are among the biggest monthly expenses for most consumers. Dr. Bandebo added, “It’s probably a sign that more people are struggling to make these big payments that form such a big outlay in their monthly cash flow.”
However, it is not all doom and gloom on the auto loan front, as the delinquency trend may be shifting:
On the other hand, we’re seeing that even though there are year-over-year increases, the size of those increases is getting smaller. Now that we’re seeing that the rate of increase is declining, we have a little bit more hope.
Listen to the full episode of Marketplace here: https://www.marketplace.org/episode/2025/10/02/on-track-for-a-layoffs-record.
Read more about consumer trends in our latest CreditGauge report.
