Elizabeth Warren Says Car Repossessions Have 'Skyrocketed' To 2008 Crisis Levels, Vows Probe Into Auto Lending
Elizabeth Warren Says Car Repossessions Have 'Skyrocketed' To 2008 Crisis Levels, Vows Probe Into Auto Lending
Badar ShaikhSun, February 22, 2026 at 2:30 AM UTC
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Sen. Elizabeth Warren (D-Mass.) has slammed the auto lending industry and claimed that car repossessions have surged to levels comparable to those during the 2008 global financial crisis.
Anti-Consumer Practices
In a post on the social media platform X on Wednesday, Warren shared her concern about the rising number of repossessions. "Car repossessions have skyrocketed to levels not seen since the 2008 financial crisis," she said, adding that the phenomenon presented a "devastating disruption" to people's lives and any errors in repossessions were "inexcusable."
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Warren said that she would be "pushing for answers" from stakeholders in the repossession and auto lending industries, citing "potentially harmful anti-consumer practices" that could be taking place in both sectors.
Car repossessions have skyrocketed to levels not seen since the 2008 financial crisis—a devastating disruption to someone's life, and inexcusable when in error.I'm pushing for answers from auto lending and repossession industries on potentially harmful anti-consumer practices.
— Elizabeth Warren (@ewarren) February 18, 2026
Warren's claims are backed by data from market research firm Cox Automotive, with data released last year that showcased the repossessions in 2024 were comparable to those in 2009, at 1.73 million units and 1.77 million units, respectively. Default rates in auto loans, according to the data, also came in at around 3.13%, significantly higher than 2023's figure of 2.73%
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Car Loans At $1K/Month, 72-Month Plans
Monthly car payments in the U.S. have surged, with many borrowers paying close to $1,000/month for vehicles. The average transaction price of a vehicle in the U.S. also came close to $50,000, per Cox Automotive, as the President Donald Trump administration touts affordability in the auto sector at the expense of vehicle safety features like automatic emergency braking, among other safety features.
Car loan periods have also surged, with several people across generations opting for 72-month payment plans, which have emerged as one of the more popular choices for car repayment plans.
Finance expert Dave Ramsey has opined that cars are not investments and backed his claims by citing his calculations, which suggest that a new car loses about 60% of its value in the first five years. "When the tires clear the car dealer’s lot and go onto the road and you hear that sound, boom boom, that was $10,000," Ramsey says.
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