Car repossessions are at their lowest rate since Experian Automotive began tracking them seven years ago. According to its latest data analysis, just 0.36 percent of all auto loans ended in repossession in the second quarter of this year, a 14.8 percent drop from the same period last year. The decline marks the lowest rate of car repos on record and is a 10.4 percent decrease from the previous record low, which was in the second quarter of 2006.
The number of car owners who were delinquent on their payments by 30 days also declined. Experian Automotive said 30-day delinquencies decreased by 5.6 percent in the second quarter, compared to the same period last year. Both repossession and 30-day delinquency rates were much lower than expected, indicating that more consumers are making their car loan payments on time.
Tara Baukus Mello writes the cars blog as well as the weekly Driving for Dollars column, providing both practical financial advice for consumers as well as insight into the latest developments in the automotive world. Follow her on Facebook here or on Twitter @SheDrives.