Delinquency rate on car loans near all-time low

Delinquency rate on car loans near all-time low

The number of consumers late in paying their car loans has fallen to the lowest level since 1999, and is nearing an all-time low, according to TransUnion, the credit reporting service.

The number of car buyers behind 60 days or more in their payments has plunged to just 0.49%, or less than one in 200, nearing the lowest figure TransUnion ever recorded. In the first quarter of 2010, the figure stood at 0.66%.

Meanwhile, the number of auto loans issued during the first quarter of 2011 increased by 22%, tracking with the overall increase in U.S. new car sales this year.

The agency reported that the lowest delinquency rates were found in Washington, D.C., Montana, and Wyoming, while the highest delinquencies for the quarter were in Mississippi, Louisiana and Oklahoma.