Subprime auto delinquencies have now surpassed 2009 levels, reaching a 15-year high

While economic headlines continue to highlight easing inflation and a strong labor market, underlying consumer financial stress is becoming more visible—particularly through rising auto loan delinquencies. Official data may paint a positive picture, but behavioral indicators are beginning to show early signs of distress.

Recent data points to a sharp increase in auto loan delinquencies, especially among subprime borrowers. Historically, individuals prioritize car payments over other obligations, as vehicles are essential for commuting and daily responsibilities. Therefore, missed payments in this category suggest a significant degree of financial strain.

According to LendingTree, 5.1% of Americans are currently delinquent on their auto loans. Of these, 2% are at least 30 days late, and nearly 1% are more than 90 days overdue. This data aligns with additional findings:

• Subprime auto loan delinquencies have surpassed 2009 levels, reaching a 15-year high, per Fitch Ratings.
• Experian reports a nearly 40% year-over-year increase in 30+ day delinquencies among borrowers in the lowest credit tier.
• Even prime borrowers are starting to fall behind—indicating that the issue is spreading beyond high-risk segments.
• The Federal Reserve notes that total auto loan balances have exceeded $1.6 trillion, with average monthly payments hitting a record $750.