Millennial Repo: Car Loan Defaults on the Rise | The American Spectator"An interesting data nugget percolated the other day about a “sharp worsening” — that is to say, an increase — in the number of car loan defaults among borrowers under 30 years old.
According to Bloomberg Financial News, the rate for the Millennial demographic was 4.04 percent last quarter vs. 2.36 for the general population, or about twice as high.
But it’s not just The Youth who are in danger of having their cars repo’d.
The overall delinquency rate last quarter was at its highest level since 2012 — and the total number of car loans (new and used) as well as leases is up by 5.2 percent.
More people, in other words, are buying cars they can’t afford.
What’s especially interesting is that the increase in delinquencies isn’t happening in parallel with a recession.
Unemployment is at a 50-year low.
People aren’t defaulting on their car loans because they lost their jobs..."
Read all.
No comments:
Post a Comment