Car payments being missed more ...
- Thread starter odie
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Makes you wonder about the people who paid the inflated prices some dealers charged over list during the pandemic when supplies of new vehicles were tight. We had lots of threads about that. Have the buyers still been able to make their payments on that Bronco or RAV4 they bought for $90,000 then?
Can you walk away from a car loan in some states, just by returning the car? In that case, I'm surprised more people don't just hand over the keys and walk away.
Here you can't do that easily, so I think less people do.
Here you can't do that easily, so I think less people do.
I don't miss car payments at all. Good riddance. 
Thankfully all my garbage is paid for. But with everything over 200k plus our terrible drivers a replacement is inevitable.
The repo lot not far from me is full of every sort of car although there are fewer low end vehicles. It is mostly fairly newer 50K+ cars and trucks.
I have never had a car payment in my life. When I could not put down cash for a new car, I bought used that I could pay for fully.
The reality the top earners are doing really well in this economy while low earners lopping off hard.
There is no surprise it impacts auto loan payments especially subprime.
There is no surprise it impacts auto loan payments especially subprime.
It's a lot easier for someone to buy a BMW when they make $250K a year vs someone who makes $40 an hour buying a new Honda Accord.
Federal workers & more w/layoffs can't be helping. Interest rates needed to be up to combat inflation but w/the shutdown we've not gotten job reports. The last ones were not good & was why we got a slight reduction recently but this may point to that continuous trend unfortunately. Soon as job reports come back then we should start seeing lower interest rates & potentially more folks not dumping their payments.
Lots of people buy vehicles costing 2X or 3X than what they really need.
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An article I read yesterday. More people are falling behind on their utility bills.
It seems to be more of an economic problem in general, not just that today's cars are expensive.
"Consumers usually prioritize their utility bills along with their mortgages and auto debt, said Julie Margetta Morgan, the foundation’s president. The increase in both energy costs and delinquencies may suggest that consumers are falling behind on other bills, too."
https://www.thenationalherald.com/n...rs-are-falling-behind-on-their-utility-bills/
It seems to be more of an economic problem in general, not just that today's cars are expensive.
"Consumers usually prioritize their utility bills along with their mortgages and auto debt, said Julie Margetta Morgan, the foundation’s president. The increase in both energy costs and delinquencies may suggest that consumers are falling behind on other bills, too."
https://www.thenationalherald.com/n...rs-are-falling-behind-on-their-utility-bills/
I have always had a car payment. I have always drove a newer car. I retired at 55 years of age-didn't affect that much. Have two vehicles in the garage now. A 2022 Volvo XC60-20,000 miles. And a 2023 Silvberado-18,000 miles. Yea-two car payments.
I don't have vehicle problems-except when I let my guard down and bought an F150 w/the ten speed.
That's always true, but certainly more so today. If you are lucky enough to benefit from the market gains, you are looking pretty darn good. Most Americans are not so lucky.
I tell people to buy that fancy pants car after everything else is covered, not before. Cars are depreciating assets and are hard to live in.
Average car price is $50K or something, yet you can buy a nice Camry, or Rav4, or Corolla Cross in low level trim (which still has almost everything) for low 30's.
If people stretch themselves out then when there hours get cut or someone in the household loses job they can't make their car payment (or electric bill, or buy meat).
Almost feels like a reset is coming. Can't stay Alice in Wonderland crazy forever.
If people stretch themselves out then when there hours get cut or someone in the household loses job they can't make their car payment (or electric bill, or buy meat).
Almost feels like a reset is coming. Can't stay Alice in Wonderland crazy forever.
No car payments going on 4 years. Can I afford a newer car, yes for sure but why? I just put $800 into suspension components on the wife's 2014 T&C. The van has cost me $4,000 over 8 years for all the maintenance including oil changes. It will take us to Florida in 4 weeks. Still reliable and at $500 per year I don't want a car payment.
To me it isn't a matter of need that gets most folks in trouble, it's a matter of want. Finances are like diets. It's not the plan, it's the disciplined execution.
To me it isn't a matter of need that gets most folks in trouble, it's a matter of want. Finances are like diets. It's not the plan, it's the disciplined execution.
In my younger days I'd think when/if I make enough I'd buy a new vehicle.. now that I'm here the price and payments sound awful. Did buy her the used BMW but it was time since the Focus was awful and the Escape is almost at it's end. Really want a bigger truck but another $25k makes the Dakota look ok for now. So people go their entire lives making payments and don't think anything about it, most of us are outliers on here.
Some people could care less about cars. Jeff Bezos reportedly use to drive a Honda Accord while being a billionaire, but he owns a 500 million yacht.
