Rising Delinquency Rates Among Car Owners in the US

Car owners are missing monthly payments at a 30-year high, with subprime borrowers facing the highest delinquency rates since 1994. Economic challenges like inflation and high car prices are leading to increased repossessions. The situation is exacerbated by trade wars and sluggish economic growth in the US.

Rising Credit Card Delinquencies

Credit card delinquencies are on the rise, with nearly a fifth of borrowers maxed-out, according to a report from the New York Federal Reserve. Household debt rose by $184 billion in the first quarter of 2024, reaching $17.69 trillion. Delinquency rates increased for credit card and auto loans, with younger borrowers and those in low-income areas being more affected.

Credit Card Delinquency Rates in the U.S.

Delinquency rates among American credit card holders are at an all-time high, with a record number of active accounts having a balance of over $2,000. The Federal Reserve Bank of Philadelphia report highlights stress among cardholders, with increasing late payments and decreasing credit scores.