Teaxans and Car Payments
Texans love their cars and trucks – but apparently not enough to keep up with their loan payments.
Credit bureau Experian released a report in June saying that Texans had the lowest average Experian credit score – 592 – for people with at least one late auto loan payment.
The score range is 330 to 830.
The national average credit score for consumers with no late auto payments is 703, while the average score for consumers with at least one late payment is 605.
Texans with no late auto loan payments had an average credit score of 679.
Experian has conducted previous studies on this issue, but the figures can't be compared because the sampling methods are different. The data for the current report was gathered in April.
"The large glaring reason is that delinquencies in Texas [in auto loans] tend to be higher," said Peter Bolin, manager of analytics at Experian.
Thirteen percent of the Texas population with auto loans had at least one serious delinquency – such as a charge-off or vehicle repossession – on their credit reports. The national average is 9 percent, he said.
In Dallas-Fort Worth, the average credit score for consumers with no late auto loan payments was 680 vs. 590 for those with at least one late payment.
"The point to consumers is, here's an example of how once you're late on your auto trade line [auto loan], look at what happens to your score," Mr. Bolin said.
Credit bureau Experian released a report in June saying that Texans had the lowest average Experian credit score – 592 – for people with at least one late auto loan payment.
The score range is 330 to 830.
The national average credit score for consumers with no late auto payments is 703, while the average score for consumers with at least one late payment is 605.
Texans with no late auto loan payments had an average credit score of 679.
Experian has conducted previous studies on this issue, but the figures can't be compared because the sampling methods are different. The data for the current report was gathered in April.
"The large glaring reason is that delinquencies in Texas [in auto loans] tend to be higher," said Peter Bolin, manager of analytics at Experian.
Thirteen percent of the Texas population with auto loans had at least one serious delinquency – such as a charge-off or vehicle repossession – on their credit reports. The national average is 9 percent, he said.
In Dallas-Fort Worth, the average credit score for consumers with no late auto loan payments was 680 vs. 590 for those with at least one late payment.
"The point to consumers is, here's an example of how once you're late on your auto trade line [auto loan], look at what happens to your score," Mr. Bolin said.
posted by Dave at 3:53 PM
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