Borrowers Struggle to Pay Auto Loans

Source: Detroit Free Press
Date: February 4, 2008

Late sending in the money for the car? You're not alone.

Auto loan delinquencies are running at their highest levels in years -- and experts expect the late payments to rise more.

Some estimate that the financial system could be looking at losses of more than $1 trillion combined from auto loans, credit cards, student loans, leveraged loans, corporate bonds and the subprime fallout.

In the past, some families easily bought pricy cars by stretching out loans to five or six years, instead of taking three-or four-year loans.

Now, more families could be shut out of buying another car because they owe more than the car is worth, and they'll likely find it harder to get financing for another deal.