Dude, Where's Your Car Payment? | NBC New York

Dude, Where's Your Car Payment?

More people are late paying their auto loans



    AFP/Getty Images

    Here's another sign of bad times in the economy: More people are delinquent on their car payments.

    The percentage of auto loans that were past 60 days or more rose a whopping 11.5 per cent in the second quarter - compared to the delinquency rate last year, according to credit reporting agency TransUnion.

    Part of this increase reflects the current housing slump, according to the agency. "In some states, there's a lack of home equity to finance auto purchases which has led to more people taking out car loans," a spokesman said.

    The auto loan delinquency rate is expected to continue to rise in the future as a result of the overall slowdown in the economy.