VEHICLE VALUES
05/05/2026 |
March auto loan default rates rose to their highest level since 2010. 30% of 26Q1 borrowers were upside down and owed an average of $7,200 on their trade-in, a 42% jump compared to 2021. These borrowers have higher payments and thus 42.6% of underwater buyers opted for an 84-month loan. Moreover, they’re twice as likely to have their car repossessed within two years compared to buyers with trade-in equity.