Household Debt Hits $12.4 Trillion As Subprime Loan Delinquencies Hit Highest In 6 Years: NY Fed
This is the continuing saga of debt buildup by US consumers. Total household debt rose $63 billion in this latest quarter to $12.35 trillion, driven by a $32 billion increase in auto loans, which also hit a record high of $1.1.4 trillion.
Subprime loans rise above pre-recession peak.
Subprime loans delinquency rises notably.
Here are some more highlights on auto loans:
- delinquencies for auto loans highest in 6 years
- 75% of subprime auto loans are made by auto finance companies
- subprime loans, which contracted sharply during the recession, have returned and have now surpassed their recession peak in 2015.
- delinquency rate has deteriorating notably for subprime loans in the past two years
- roughly 6 million individuals at least 90 days late on their auto loan payments.