The Car Loans Crisis How Bad Is It
Dealing with the car loan crisis
Americans have suffered from the stock market bubble and housing bubble, but what about the car loans bubble? Some may say that it’s not a car loan crisis, but a consumer debt crisis.
Car buying near you
Car buying near you is like buying a refrigerator or a washing machine. The asset is at the highest value when you purchase it. No one ever buys a car as an asset. Cars are not a long-term appreciating asset.
One of the best things that you can do is actually try and buy a used car with cash if you have the reserves to do so.
Dealing with Car-loan debt
Right now, as it stands, most Americans have a car loan debt. The total is around $1.4 trillion in car loan debt for Americans that is doubling the amount within a decade. The car loan is both for cars and SUVs.
Americans are just getting larger car loans for vehicles than putting saving the way to pay cash for a vehicle in 2010 the average car cost about $26,000 and in 2019 it is now $32,000. The average new car loan is around five years. Most likely it’s averaging out to around six for some car buyers.
Say bye to zero down financing
You are slowly going to see that the car market is not going to offer zero down auto financing near Chicago, South Bend, New York, Pensacola, or Boise Idaho for the near future so if you are in the market for a used car now is the time to go to your local credit union and see what they can approve you for an auto loan before interest rates hike up.
More and more you see car buyers hold onto their cars for a few years past their car loan. You also see that car buyers are just buying one car to stay afloat to afford the house that they are living in.
There’s no roadmap for car loan financing
Furthermore, there is no roadmap to how the car market is going to survive if interest rates do not continue to go up for you to buy a vehicle.
So for the time being try and find that cheap used car loan near you and try to get into a reliable vehicle and pay it off within 3 to 4 years before interest rates spike again.
Dealing with the car loan crisis Americans have suffered from the stock market bubble and housing bubble, but what about the car loans bubble? Some may say that it’s not a car loan crisis, but a consumer debt crisis. Car buying near you Car buying near you is like buying a refrigerator or a washing…