Record 20.3% of New-Car Buyers Pay $1,000+ Monthly as US Auto Debt Hits $1.713 Trillion

In the second quarter of 2026, 20.3% of financed new-vehicle purchases carried monthly payments of $1,000 or more, matching the record set in Q4 2025 and up from 20.0% in Q1, according to Edmunds. The used-vehicle share also hit a record 6.3%. US auto loan balances reached $1.713 trillion as of the quarter ending June 2026, up $28 billion in the quarter and $58 billion year-over-year, with $211 billion in new originations, the Federal Reserve Bank of New York reported. Experian put the average new-vehicle monthly payment at $765 and used at $542, with average terms of 69.46 and 67.86 months and rates of 6.35% and 11.19%. The new-used payment gap of about $223 monthly totals roughly $16,400 over each loan's average term. Personal finance commentator Dave Ramsey warned against such borrowing, saying car debt "will suck the bone marrow out of your money." The spread of record payments across new and used segments underscores growing consumer leverage in auto lending.