(WTNH) – A startling report this week finds Americans are falling behind in their car loans faster than ever before. We are Stretching Your Dollar with what you can do about it.
It’s one of life’s necessities and we’re struggling to pay for it. In fact, according to Bloomberg, Americans are falling behind on their auto loans at the highest rate in nearly three decades.
Interest rates are making newer loans more expensive than higher car prices. Many people are several months behind on payments and if that’s you there are steps you can take.
First, contact your lender as soon as possible. They may be willing to renegotiate their terms or perhaps change the due date to work better for you.
You can also ask about a payment plan to get caught up.
You can consider refinancing your car or trading it in for a less expensive on that will lower your monthly payment.
The only thing you don’t want to do it nothing because falling deeper into debt will only hurt your credit score.
Remember to always keep a focus on your credit report. Having a health report is another way to score lower interest rates.