Record-High Auto Debt Follows Buyers into New Car Loans
TL;DR Summary
A CNBC report citing J.D. Power and Edmunds shows a record level of underwater car debt, with 30.5% of trade-ins worth less than the loan, average negative equity $7,214 (Q4 2025), and 27% owing $10,000+. When financed into a new loan, the typical monthly payment jumps to about $916, while new-car prices rose to about $49,353 in February, up 30% since 2020.
- Debt Carried by Drivers Into New Car Loans Rockets to All-Time High The Daily Beast
- Nearly 1 in 3 car buyers are underwater on trade-ins — analyst calls dollar amount 'troubling' CNBC
- Nearly 1 in 3 Car Buyers Are Underwater on Trade-Ins streamlinefeed.co.ke
- Leo Michael cartoon: Affordable vehicle options shrink Automotive News
- How rising car prices present one more hurdle for homebuyers The Daily Gazette
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