Overview
- An exclusive analysis provided to CNBC reports total U.S. auto debt reached $1.68 trillion at the end of 2025, up 37% since 2018, with nearly 86 million people carrying a loan or lease.
- New-car prices climbed to nearly $49,000 on average, and entry-level models have largely disappeared, which pushes many buyers into larger loans.
- Financing has grown costlier as the average APR for new cars rose to 6.9% in the first quarter of 2026, while some borrowers with credit scores under 580 face rates above 18%.
- Stretching payments has become common, with 22.9% of financed new purchases using seven-year-or-longer loans and 20% of buyers taking on monthly bills of $1,000 or more.
- Lower-income households bear the heaviest load, paying an average of $738 a month and carrying higher balances, as gas prices near $4.53 a gallon further lift the cost to own a car.