A record 7 million Americans are 3 months behind on their car payments, a red flag for the economy [View all]
Source: Washington Post
By Heather Long February 12 at 11:26 AM
A record seven million Americans are 90 days or more behind on their auto loan payments, the Federal Reserve Bank of New York reported Tuesday, even more than during the wake of the financial crisis era.
Despite the strong economy, many Americans continue to struggle to pay their bills. People who are three months or more behind on their car payments often lose their vehicle, making it even more difficult to get to work, the doctor or other critical places.
“The substantial and growing number of distressed borrowers suggests that not all Americans have benefited from the strong labor market,” economists at the New York Fed wrote in a blog post.
There are over a million more “troubled borrowers” now than there were at the end of 2010, when unemployment hit 10 percent and delinquency rates on auto loans peaked. Unemployment today is 4 percent and many more Americans have jobs now, yet a significant number of people still can’t pay their car loan.
-snip-
Read more: https://www.washingtonpost.com/business/2019/02/12/record-million-americans-are-months-behind-their-car-payments-red-flag-economy/
= new reply since forum marked as read
