Is Car-Mageddon Right Around the Corner?

Do you remember when 10-12 years ago before the real estate collapse when Hummer's and big pickup trucks were what every good American felt they needed to show they had arrived?  It's when gasoline went up to $4.25 per gallon and real estate prices fell by upward of 50% when everyone realized that maybe that's not such a great idea?

Of course the human memory is extremely short, so most Americans have already forgotten how scary the collapse of 2007-2008 actually was.  We weren't sure IF we were goings to find bottom when Lehmann Brothers collapsed.

So it really shouldn't surprise us that Americans have been embracing debt again!  We love our $80,000 trucks because gas is only $1.90/gallon and the payment is only $800/mo for 7 years with really low interest rate!  That's a good deal...right?

Debt has become an issue of concern for those who care about their financial future. But with the government setting the terrible example of drastically spending more than they bring in, many in America are following suit and it is leading to a crisis and a red flag for the economy.

Just on the heels of the United States government's debt surpassing $21 trillion comes the news that there are now a record number of Americans who are behind on their record high car payments. According to CNBC, more than 7 million Americans are at least 90 days behind on their auto loans, according to the New York Fed. This is a major concern, considering the average car payment in the U.S. is now $523.

"More and more people are buying too much car for what they can afford," said Ed Mierzwinski, senior director of U.S. PIRG's federal consumer program. Overall, auto debt accounts for about 9 percent of total U.S. consumer debt, up from 6 percent in late 2011, separate data from the Federal Reserve Bank of Kansas City show.

The amount of Americans currently in default of their car loans is higher than in 2010 when many were still reeling from the 2008 Great Recession, a statistic that is once again, showing that the U.S. economy may not be nearly as strong as the media's talking heads present. The "number of distressed borrowers suggests that not all Americans have benefited from the strong labor market and warrants continued monitoring and analysis of this sector," Fed economists say.

Auto debt has soared and with that comes people who cannot pay the bill they signed up for. The dramatic uptick in delinquencies came along with a dramatic $584 billion jump in total auto loan debt. That's the highest increase in car debt since the New York Fed began keeping track 19 years ago.

Read more at http://prophecynewswatch.com/article.cfm?recent_news_id=2972#3ZHdbts1tZSAFB43.99

Most American's don't have $1000 and if they miss even one paycheck, their debt ridden lives would all start to collapse like a house of cards.

Knowing that most Americans have not surrendered their lives to Jesus Christ it would be safe to say that Mammon has become America's false god.  Should it really surprise us if our entire financial system, built on massive debt, collapses in a heap of rubble one day?

We hope it happens AFTER the rapture of the church...but it could happen tomorrow.  The signs of pending implosion are everywhere.