Q2-2024 Net Worth Continues to Grow for All, Consumer Unsecured Continues to Shine, and Subprime Auto Rebounds

Quick Insights

• Federal Reserve DFA Data: Q2-2024 data reveals significant net worth growth across all income cohorts, though, unlike past quarters, this increase is no longer primarily driven by equity/mutual fund holdings.

• Consumer Unsecured: Most credit metrics outperformed seasonally adjusted trends in August, with Total Impairments and 30+ Impairments decreasing 21 bps and 4 bps MoM, respectively. FL/SC/GA and TX/OK/LA were the only regions showing higher Impairments, likely due to hurricane-related disruptions.

• Subprime Auto: August saw a partial recovery from July's poor performance, with most metrics outperforming seasonal trends. Total Impairments and 30+ Impairments fell 150 bps and 105 bps MoM, respectively, representing a ~50% rebound of July's increase.