Part 2/11:
Presently, approximately 17% of auto loans feature monthly payments exceeding $1,000 — a stark increase from just 10 years ago when this figure hovered around 2.4%. This surge reflects an affordability crisis where the average consumer is stretched thin, often prioritizing monthly payments over other essential expenses.
Data indicates that over 80% of recent car buyers are "payment buyers," meaning they opt for financing over cash purchases. When payments exceed $1,000 monthly, consumers are left with less disposable income for groceries, housing, entertainment, and savings — weakening the overall economy as consumer spending declines.