Cracks in the credit: Are we seeing early signs of financial stress?

Cracks in the credit: Are we seeing early signs of financial stress?

US consumers are still spending — but underneath the surface, pressure is building. Auto loan delinquencies are nearing 2010 levels, sub-prime defaults are accelerating, and financial markets are starting to take notice.

When the most vulnerable borrowers struggle, it often signals deeper issues ahead for household finance. Rising delinquencies and tightening credit could ripple far beyond the sub-prime segment — testing the resilience of lenders and households alike.

Source: https://www.deloitte.com/us/en/insights/topics/economy/global-economic-outlook/weekly-update.html