U.S. New Car Payments Hit Record $772/Month as Affordability Worsens
The average monthly payment for a new car in the U.S. has reached a record $772, with more buyers taking on longer loan terms to manage costs. One in five financed buyers now pays over $1,000 per month, raising concerns about consumer credit quality and future auto demand.
The average monthly payment for a new car in the United States has climbed to a record $772, according to recent data. To cope with rising vehicle prices, an increasing number of buyers are opting for extended loan terms of six, seven, or even eight years.
One in five financed new-car buyers now pays more than $1,000 per month. This trend, combined with elevated costs for housing, insurance, food, and student loans, is intensifying affordability pressures across households.
The mounting financial strain raises concerns over consumer credit quality and could dampen future demand for automobiles, as buyers struggle to manage higher monthly obligations.
Source: First Squawk