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Auto loan delinquencies climbed to $9 billion in 2018

NNPA NEWSWIRE — … in April of last year, Congress used the Congressional Review Act to nullify the Consumer Financial Protection Bureau’s (CFPB) auto finance guidance that held auto lenders responsible for discriminatory lending practices prohibited under the Equal Credit Protection Act. This distorted use of the Congressional Review Act, sometimes known as another CRA, was never intended to overturn long-standing agency practices.

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By Charlene Crowell, NNPA Newswire Contributor

In recent months, many economists and lawmakers have frequently touted how the nation’s economy is performing really well. Often citing historically low unemployment rates, I’ve always felt that such pronouncements failed to consider the untold millions of Americans who are eking out a living on low or no raises, or others who work multiple jobs trying to piece together a living for their families.

But new data from the Federal Reserve Bank of New York, offers hard evidence that a key sector of the economy is showing signs of distress: auto loans. At the end of 2018, 7 million consumers were three months behind on their car payments, according to the Fed’s Liberty Street Economics.

Addressing its finding of multi-million auto loan delinquencies, the Fed wrote, “That is more than a million more troubled borrowers than there had been at the end of 2010 when the overall delinquency rates were at their worst, since auto loans are now more prevalent.”

I suspect that many consumers want to keep a car available just as much as a roof over their heads. Reliable wheels also offer a certain amount of freedom of mobility that eliminates the need to know a train or bus route or the fare.

So why are so many consumers delinquent on their car loans?

Answers can be found by examining the terms of the loans. Just as the foreclosure crisis took people’s homes, the wrong car loan takes your mobility. Consumers with lower credit scores – less than 620 on a scale that reaches 850 – become easy targets for sub-prime auto finance that comes with interest rates from the mid-teens to as high as 20 percent. Auto finance companies are often used by lower credit score consumers looking to buy a car.

By comparison, consumers with credit scores of 661 to 780 or higher typically have car loan interest rates of 6 percent or less. These consumers frequently finance their autos from banks, credit unions, or the financing arms of major auto manufacturers. Of the nation’s $1.27 trillion in car loan debt, 30 percent of loans were made to consumers with credit scores over 760.

As Liberty Street reports, 6.5 percent of auto finance loans are 90 days or more past due, compared with only 0.7 percent of loans originated by credit unions. So unfortunately, once again, it is the struggling, working poor who are bearing the brunt of car loan delinquencies, often forged by predatory high-interest rates and other practices.

Another new and independent research report entitled, Driving Into Debt, found that the money now owed on cars is up 75 percent since the end of 2009, an all-time record.

Jointly authored by U.S. Public Interest Research Group (US PIRG) and the Frontier Group, this report states that subprime auto lenders inflict financial abuses that are both predatory and discriminatory from making loans to people without the ability to repay, marking up rates and prices on both Black and Latino customers, and financing expensive add-on products like extended warranties and insurance into the car loans.

“Americans shouldn’t have to fight their way through a thicket of tricks and traps at the auto dealer just to get the transportation they need to get to work or school,” said Ed Mierzwinski, U.S. PIRG’s senior director for federal consumer programs and a report co-author.

Nor does it help that in April of last year, Congress used the Congressional Review Act to nullify the Consumer Financial Protection Bureau’s (CFPB) auto finance guidance that held auto lenders responsible for discriminatory lending practices prohibited under the Equal Credit Protection Act. This distorted use of the Congressional Review Act, sometimes known as another CRA, was never intended to overturn long-standing agency practices.

But in 2018, the law was used to overturn 14 agency rules. At the time, Senate Majority Leader Mitch McConnell described the auto lending CRA as part of a broader deregulation effort, stating: “Our whole economy is getting a tune-up. And now it’s time for the front end of the auto industry to come along for the ride.”

That kind of perspective suggests that the Majority Leader may have an unhealthy regard for fair lending laws, particularly those aimed at eliminating racial and ethnic discrimination. Further, time and actions will tell how much Kathy Kraninger, the new CFPB Director, is attuned to the predatory and discriminatory lending that continues despite federal laws.

“We need a strong Consumer Financial Protection Bureau and help from state Attorneys General and local officials to enforce consumer and fair lending laws against unfair car loan tactics,” added Mierzwinski. “Otherwise, consumers and the overall economy will suffer.”

“Predatory and discriminatory auto lending practices notoriously prey upon the financially distressed, with loans that disregard the consumer’s ability to afford them,” noted Rebecca Borne, a Senior Policy Counsel with the Center for Responsible Lending. “Common-sense regulation and enforcement are needed to ensure responsible underwriting and elimination of other predatory practices that are consistently shown to result in borrowers of color paying more than white borrowers, even controlling for creditworthiness.”

Charlene Crowell is the Center for Responsible Lending’s Communications Deputy Director. She can be reached at Charlene.crowell@responsiblelending.org.

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Oakland Post: Week of August 12 – 18, 2026

The printed Weekly Edition of the Oakland Post: Week of August 12 – 18, 2026

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California Hispanic Chambers of Commerce Unveils: ‘Powering the Future’ Theme for 47th Annual Statewide Convention

POST NEWS GROUP — For nearly 50 years, the CHCC has been the frontline champion of California’s small-business ecosystem. As the economic landscape evolves, “Powering the Future” signals bold momentum—emphasizing the innovation, resilience, and leadership needed to fuel the next generation of entrepreneurs and community leaders. The theme bridges the CHCC’s foundational advocacy over the past 47 years with a strategic vision for rapid economic transformation.

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Luis Zambrana, McDermott Costa Insurance; Leo Callejas, California Hispanic Chambers of Commerce (CHCC) Northern Region chairperson; Karen Guzman, Aliza Gallo, board director, Oakland Latino Chamber of Commerce (OLCC); Julian Cañete, president and CEO of CHCC; Sharon Fonseca, OLCC board director. Courtesy photo.

The premier August event in Oakland will unite business leaders, policymakers, and innovators to drive the next generation of California’s economic growth.

The California Hispanic Chambers of Commerce (CHCC) has officially announced “Powering the Future” as the theme for its 47th Annual Statewide Convention. The landmark event will be held August 19-21 at the Oakland Marriott City Center in Oakland, California. 

For nearly 50 years, the CHCC has been the frontline champion of California’s small-business ecosystem. As the economic landscape evolves, “Powering the Future” signals bold momentum—emphasizing the innovation, resilience, and leadership needed to fuel the next generation of entrepreneurs and community leaders. The theme bridges the CHCC’s foundational advocacy over the past 47 years with a strategic vision for rapid economic transformation. 

Driving Innovation and Economic Influence

As California leads global trends in technology, clean energy, and entrepreneurship, Hispanic-owned businesses are at the helm. From harnessing artificial intelligence and accelerating digital transformation to pioneering sustainable practices, Latino entrepreneurs are actively shaping tomorrow’s industries.

“Hosting this convention in Oakland is deeply meaningful,” said Noel Gallo, who represents Council District 5. “Approximately 28% of Oakland’s population is Latino, and their contributions shape every aspect of our civic, cultural, and economic life.”

Latino‑owned businesses are central to our city’s growth; they drive job creation, revitalize commercial corridors, strengthen neighborhood identity, and contribute to innovation across sectors including construction, hospitality, education, retail, arts, professional services, and more, Gallo asserts.

“These enterprises do more than generate revenue; they anchor family legacies, nurture community pride, and create spaces where culture and commerce meet,” Gallo said.

“Following a period of significant economic transformation, ‘Powering the Future’ is more than a theme—it is a collective call to action,” said Julian Cañete, president and CEO of the CHCC. “Our businesses and future leaders aren’t merely adapting to change; they are driving it. This convention will showcase the innovation and leadership needed to build a stronger, more prosperous California for generations to come.”

Cañete is also excited to have Oakland as the organization’s host city. Noting Oakland’s historical significance and deep-rooted diversity “From its legacy as center of social movements to its modern identity as a hub for innovation, sustainability, and small business growth, Oakland embodies the resilience and creativity that define our state,” Cañete added. “We are proud to contribute to this dynamic community’s ongoing momentum and economic vitality.” 

Three Days of Impact, Connection, and Advocacy

The CHCC Annual Convention empowers Hispanic and diverse businesses and communities while fostering connections and advancing economic opportunities. The convention features impactful presentations on business development, current business trends, economic and community development, and policy-oriented discussions.

Attendees can connect with business leaders, thought leaders, elected officials, and other Hispanic and diverse small business and community leaders. Participants establish strategic, long-lasting partnerships through direct personal engagement, best-practice sharing, interactive dialogue, networking workshops, and more.

The agenda includes an annual business matchmaking program, dynamic panels and speakers, an exhibition hall, awards ceremonies, and meal events highlighting the remarkable achievements of Hispanic and diverse businesses and communities.

The CHCC Annual Awards celebrate Hispanic and diverse companies and communities for their hard work, ingenuity, dedication, and contributions to California’s economy. The CHCC Annual Convention also aims to advance a diverse supply chain and create expanded business opportunities for diverse entrepreneurs and communities.  

The Oakland Hispanic Chamber of Commerce is the source for this report.

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Returning to Its Roots, the Oakland Black-Eyed Pea Festival Partners with the Freedom Farmers Market Sept. 12

POST NEWS GROUP — Freedom Farmers’ Market (FFM) vendors sell produce and promote wellness and nutrition through organic herbs, massage, and other gift items from July through October on the second and fourth Saturdays at a dozen canopies in the last block of Shattuck Avenue, where it merges with Telegraph Avenue.

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Elaine Smith, executive director of Farms to Grow, Inc., holds T-shirt for Ki’Ara LaFitte, winner of the Freedom Farmers’ Market Watermelon-Eating Contest at the season opening on July 11. Courtesy photo.

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The Oakland Black-Eyed Pea Festival (BEPF), a celebration of African American traditional music, food and art, will return to its roots through a partnership with Farms to Grow, Inc., the hosts of the Freedom Farmers’ Market on Sept. 12.

Now in its 11th year, the downsized festival sponsored by Omnira Institute will open with presentations by Wakan Wiya Two-Spirit Drum, a drum invocation for the ancestors by Awon Ohun Omnira, a performance by Andre Thierry of Accordion Soul, and most importantly, fresh black-eyed peas for sale.

Freedom Farmers’ Market (FFM) vendors sell produce and promote wellness and nutrition through organic herbs, massage, and other gift items from July through October on the second and fourth Saturdays at a dozen canopies in the last block of Shattuck Avenue, where it merges with Telegraph Avenue.

Over the years, FFM vendors have appeared at the Black-Eyed Pea Festival and vice versa, so this collaboration is like a family reunion.

Farms to Grow, Inc. Executive Director Elaine Smith said the collaboration with Omnira Institute was an opportunity she couldn’t refuse. “People talk about community and unity for Black people – I always want to be an example of what has to be done,” Smith said. “Anyway that we can partner with our people, we want to do that.”

Charlotte Jackson, a longtime vendor with FFM and the festival, had been known for her jellies, jams and chow-chow through Pots n’ Jars. For the last several years, she hasn’t been able to find a commercial kitchen she can afford, so she began selling vegan soap and skin care products that her son and his partner produce under the name Lather and More.

“It’s been a blessing,” said Jackson, who will tell her customers that although they can order the wares from the website, there’s no such thing as ‘smell-avision.” From her table, she encourages passers-by to take a sniff of the soaps, then directs them to the nearby booths.

Jackson functions as a sort of ‘town crier’ of ‘buying Black,’ never failing to encourage Black people to take their mule or Pontiac or Chevrolet and steer it toward Black businesses like Mandela Market.

Likewise, the Black-Eyed Pea Festival was established to encourage Black entrepreneurship by providing a space for Black creatives to sell their handmade or original designs and products without competing with commercially produced goods.

It also served as a way to both commemorate and invigorate memory of the once-thriving Black community of West/North Oakland before it was divided by highways, BART, and then ravaged by the crack cocaine epidemic.

“For one day, I wanted to invoke the success of that community through the sound of music, the taste of soul food and black-eyed peas and the beauty of our art,” Ravernell said.

Once deciding to follow through on the idea of holding a festival celebrating African American traditions, Ravernell settled on using the black-eyed pea as its symbol because of its pride of place in Black people’s consciousness on New Year’s Day and because the peas were originally cultivated in Africa.

Learning that Fresno farmer Wil Scott, former president of the California African American Farmers Association, grew black-eyed peas as well as other legacy crops that are the foundation of a soul food menu, Ravernell was intent on ensuring Scott’s presence at the first festival in 2014. Whenever he could, and whenever the weather yielded a bountiful crop, Scott would bring his black-eyed peas to the festival, shelled or on the pods.

Originally cultivated in Africa, the black-eyed pea is believed to have been brought to the U.S. hidden in the hair of African captives brought to the Western Hemisphere during the holocaust of the Atlantic Slave Trade.

Known to grow plentifully even in poor soil, the pea was associated with abundance in Africa and later, in the U.S., with good luck.

She also learned that black-eyed peas nourish poor soil, that they are a very good source of nutrition, and that they probably contributed to the longevity of the enslaved.

“I thought the black-eyed pea, its story and its significance for Black people made it a great symbol to represent Black culture,” she said. In spite of everything they endured, Black people emerged from slavery and Jim Crow as masters of making a lot from a little, creating a culture that would be emulated and imitated at home and abroad.

Feeling that many people know only the most recent iterations of Black music – Hip Hop and R&B – she created the festival to promote the music of earlier eras, which reflect the thoughts and feelings of Black people over time.

That’s why the festival highlights straight-ahead jazz, gospel, zydeco and the Second Line of the New Orleans jazz funeral.

“It’s not enough to remember,” Ravernell said. “We need to actively nourish the roots of our culture.”

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