Why Car Payments Are So High Right Now
609,728
Published 2024-06-17
Chapters:
00:00 - 01:14 Title card - Why car payments are so high right now
01:23 Chapter 1 - Rising car payments
02:04 Chapter 2 - Why so high?
05:35 Chapter 3 - Good news
Producer: Robert Ferris
Editor: Darren Geeter
Animation: Jason Reginato
Senior Managing Producer: Tala Hadavi
Additional footage: Getty Images, Hyundai, Toyota, GM, Ford
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Why Car Payments Are So High Right Now
All Comments (21)
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I’m sorry but $30k for a Corolla should be a felony…
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Never been happier not having a car payment.
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It’s called greed from manufacturers and stupidity from consumers
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The irony. Younger generations are driving less than previous generations. They'd rather Uber and Lyft everywhere or take public transportation. Congrats auto industry, you played yourselves.
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paid my car off earlier this year and it’s working perfectly fine and has 70,000 miles on it. not buying another car until this car runs to the ground
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I'm still driving a 2007 Honda fit. That little car is a gold mine of reliability, low maintenance, high gas mileage and tens of thousands of dollars saved by not having to buy a new car 😆
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What is even funnier is that the car dealers are adding mark ups on cars that should be only 19,000 to 23,000 at the regular price and putting 10,000 to 20k on some car models because they are greedy and want to make commission. this needs to be regulated and punished to stop the car dealers from making buying a new car a luxury.
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Another big challenge is how expensive it is to repair cars. You can’t just replace a part, you need someone to use a computer to program that part. People are opting to just buying a new car every 5-6 years because they can’t deal with the high repair costs
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Why are they so high? Because Americans keep telling themselves they need that 85k GMC Denali 2500 to live. 96mo payments at 8%? Yes. People do it to themselves.
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The best car payment is zero. Now I pay myself.
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I just mailed in my payoff loan amount for my 2020 Honda Accord. I was fortunate enough to have excellent credit and secured a 1.9% interest rate. With my trade, and $3K cash down, my car payment was still $600.00 per month. That kind of car payment chokes you. Some months were really tough with mortgage, home & auto insurance and basic living expenses. It was tough at times, but I made it through.
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The problem is the cheapest cars today have all the bells and whistles from a high end luxury car of 20 years ago. There are no bare bones zero features commuter cars available now. Roll up windows, no power steering, no A/C, no power anything, no navigation or Bluetooth. No excuse why a $10K new car can’t exist today.
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America's obsession with overpriced trucks and SUV's is absurd.
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Buying a 50K car with features you don't even need, at an interest rate you can't afford... yeah, it will seem like it.
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These same people complaining about car payments being too high are the same ones financing a car paying $400-$1000 a month for a car note.
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My best advice, only buy a car that you can buy in cash in full and buy it at the end of of its worst depreciation decline. Some of the best cars are the older ones anyways. Get out of the debt mindset . Being debt free can make your life much easier.
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I drive a 2007 just-a-truck. She has no screens, no wifi, but she has a new engine, transmission, and best of all, she's all mine.
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Americans continue to buy big, high tech expensive cars and then complain about the payments. Silly.
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People: I want that fully loaded big SUV Also the same people: “Why are these payment 900/mo. Its too expensive”
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Still driving my paid off 2006 Lexus GS430. Just hit 200,000 miles. Cant believe the engine is still super quiet at idle and car still runs great! Quality is better and more reliable than these new cars they are making.
