The auto market is splitting in two. Affluent buyers continue to purchase vehicles, often paying cash or qualifying easily for loans, while subprime consumers are falling further behind. According to Fitch Ratings (U.S. Auto Loan Indices, Section 04), subprime auto loan delinquencies have climbed to about 6.4 percent. and PYMNTS reports that vehicle repossessions are now at their highest levels since the Great Recession.J.D. Power data cited by DealershipGuy Newsshows that nearly 14 percent of new-car buyers, or roughly one in seven, now have a credit score below 650, the largest share in almost a decade.
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