Last month, 6.65% of subprime borrowers were at least 60 days late on their car payments. That’s the highest delinquency rate since the 1990s, according to Fitch Ratings.

A potential rule change by the Trump administration could limit the Consumer Financial Protection Bureau’s supervision of auto lenders, including many that focus on buyers with low credit scores.

Vehicle sticker prices are way up — and so are maintenance and insurance. Plus, Americans are buying bigger cars with more fancy stuff these days.

Elevated car prices and interest rates have been squeezing lower-income buyers.

Delinquencies have been rising for credit cards and auto loans.

Though many households are faltering on credit card and auto loan payments, wealthier Americans are keeping the spending metrics robust.

The New York Federal Reserve found that rejection rates for loan applications are higher than they were in 2023 for credit cards, auto loans, mortgages and refinances.

The amount includes money owed on things like credit cards, auto loans and student loans. Delinquencies are also rising.

The application rate for any kind of credit dropped to just over 41% this year from nearly 45% in 2022, according to a Fed survey.

The repossession industry is struggling with an enduring labor shortage, while 1.5 million car repos are expected this year.