(The Economic Collapse Blog)—It is happening again. All over America, borrowers are getting behind on their payments. In particular, subprime borrowers are having a very difficult time paying the bills. Does that ring a bell? That should, because the last time we witnessed anything like this was during the last financial crisis. When things start to go bad, those at the bottom of the economic food chain feel it first, and that is why the numbers that have been coming out lately are so alarming.
For example, the percentage of subprime borrowers that are at least 60 days behind on their auto loans reached 6.11 percent last month.
That figure is the highest ever recorded…
The percent of subprime auto borrowers at least 60 days past due on their loans rose to 6.11% in September, the highest in data going back to 1994, according to Fitch Ratings.
“The subprime borrower is getting squeezed,” said Margaret Rowe, senior director with Fitch.
Let this sink in for a moment.
We never saw a number this high during the Great Recession.
And we never saw a number this high during the COVID pandemic.
So this is really bad.
Credit card delinquency rates at small banks have also hit an all-time record high…
Credit Card Delinquency rates at small banks have reached 7.51%, the highest level ever recorded
Once again, we never saw a number this high during the Great Recession.
And we never saw a number this high during the COVID pandemic.
Needless to say, it isn’t the wealthy that are getting behind on their credit card payments.
Instead, it is ordinary Americans that are deeply struggling to pay the bills in this harsh economic environment. Alarmingly, early-stage mortgage delinquencies are also spiking…
Meanwhile, early-stage delinquencies (30 and 60 days past due) continued to increase. In September, 48,800 (+5.1%) additional borrowers were 30-days late on their mortgage payments, while 8,700 (+3%) were 60-days late on their mortgage payments. These rates have been going up for the past four months and six months, respectively.
And foreclosures have started to jump at a pace that is absolutely breathtaking…
Home foreclosures are on the rise as Americans continue to grapple with the ongoing cost-of-living crisis.
That is according to a new report published by real estate data provider ATTOM, which found that foreclosure filings – which includes default notices, scheduled auctions and bank repossessions – surged 28% in the third quarter to 124,539.
Foreclosures are up 34% from the same time one year ago.
Just like we witnessed in 2008 and 2009, millions upon millions of Americans have gotten way too overextended.
Even though everyone knew that the cost of living was rising much faster than paychecks were, a lot of people out there just kept spending like they always had been.
They thought that things would eventually work out okay in the long run, but instead they just kept getting deeper and deeper into debt. Now a day of reckoning has arrived, and there are many that simply cannot keep up with all of their payments. And many are falling out of the middle class altogether.
In all my years of writing, I have never seen poverty increase in the U.S. as fast as it is rising right now. Recently, we learned that the percentage of Californians living in poverty jumped from 11 percent in 2021 to 16.4 percent last year…
Poverty has increased dramatically in California and the nation, a surge that new studies attribute to the expiration of pandemic-era federal relief programs such as the expanded Child Tax Credit.
The spike has been particularly steep among Black and Latino Californians and children across all ethnicities.
Researchers found 16.4% of Californians were living in poverty last year, up from 11% in 2021. The rate of child poverty more than doubled last year.
What will the final number for 2023 be? Will it be above 20 percent? The economy is moving in the wrong direction very rapidly now, and the war in the Middle East hasn’t even fully erupted yet. So what in the world will conditions look like once that happens?
Our economic prosperity is completely and utterly dependent on cheap energy. Without it, everything will change.
Once the flow of Middle Eastern oil stops due to the war, the price of oil is going to go completely nuts. And once that happens, a nightmare scenario could quickly unfold.
In a recent article, Tuomas Malinen detailed what he thinks might happen…
- The conflict escalates into a regional war with the U.S. becoming directly involved.
- OPEC responds with an oil embargo.
- Iran closes the strait of Hormuz.
- The price of oil reaches $300/barrel.
- Europe succumbs into a full-blown energy crisis due to LNG shortage.
- Massive spike in energy prices reinvigorates inflation with central banks responding accordingly.
- Financial markets and the global banking sector collapse.
- Debt crisis engulfs the U.S. forcing the Federal Reserve to enact yet another financial market bailout.
- Petrodollar trade collapses.
- Hyperinflation emerges.
I don’t think that he is too far off the mark. We were already facing a major crisis even without the war in the Middle East.
As I discussed the other day, U.S. banks are closing hundreds of branches and are laying off thousands of workers. And the truth is that the banks are the beating heart of our entire financial system.
We are so close to a full-blown economic meltdown. The only thing that could really save us now is if peace broke out in the Middle East.
Unfortunately, this is not going to be a time of peace. This is going to be a time of war.
So that means that extremely harsh economic conditions are ahead of us, and most Americans are completely and utterly unprepared for such a reality.
Michael’s new book entitled “End Times” is now available in paperback and for the Kindle on Amazon.com, and you can check out his new Substack newsletter right here.
Three Reasons a Coffee Gift Set From This Christian Company Is Perfect for Christmas
When you’re searching for a Christmas gift that’s meaningful, useful, and rooted in faith, you don’t want to settle for anything generic. This season is filled with noise — mass-produced products, last-minute picks, and trends that fade as quickly as they appear. But one gift stands apart because it blends genuine quality with a message that matters: a coffee gift set from Promised Grounds Coffee.
This small Christian-owned company has become a favorite among believers who want to support faith-driven businesses while giving friends and family something they’ll actually enjoy. Here are three reasons a Promised Grounds Coffee gift set may be the most thoughtful and impactful present you give this year.
1. It’s Truly Delicious Coffee
Too many “gift-worthy” coffees look beautiful in the package but disappoint when the cup is poured. Promised Grounds takes the opposite approach — exceptional taste first, thoughtful presentation second.
Their beans are sourced with care, roasted in small batches, and crafted to bring out a rich, smooth flavor profile that appeals to both casual drinkers and true coffee lovers. Whether someone enjoys bold, dark roasts or lighter, more delicate blends, every sip reflects quality that stands shoulder-to-shoulder with the biggest specialty brands.
Simply put: this coffee is good. Really good. Some say it’s absolutely fantastic. If you want a gift that won’t be re-gifted, ignored, or shoved in a cabinet, this is it.
2. It Spreads the Word While Serving a Real Purpose
There are many Christian gifts that are meaningful… but not exactly practical. There are also useful gifts that have nothing to do with faith. Promised Grounds Coffee bridges both worlds beautifully.
Each gift set delivers an encouraging, faith-centered message through its packaging and presentation — a simple but powerful reminder of God’s goodness during the Christmas season. The cups are especially popular and serve as a daily reminder of the blessings from our Lord. At the same time, the product itself is something people will actually use and appreciate every single day.
It’s a gift that uplifts the spirit and fills the mug. A gift that points loved ones toward Scripture while still being part of the normal rhythm of life. And in a culture that increasingly pushes faith to the margins, giving a gift that quietly but confidently honors Christ can make a deeper impact than you might expect.
3. It’s Affordable, Valuable, and Elegantly Presented
Many people want to give something meaningful without breaking their Christmas budget. Promised Grounds Coffee strikes that perfect balance — the sets look and feel premium, but the price remains accessible.
The packaging is classy, clean, and gift-ready, making it ideal for:
- Family members of all ages
- Co-workers or employees
- Church friends or small-group leaders
- Hosts, neighbors, and last-minute gift needs
It’s the kind of gift that feels more expensive than it is — and more thoughtful than most of what you’ll find on store shelves.
The Perfect Blend of Faith, Flavor, and Christmas Cheer
A coffee gift set from Promised Grounds Coffee checks every box: a gift that tastes amazing, conveys your faith, supports a Christian business, and brings daily enjoyment to the person who receives it. In a season when so many gifts are forgotten, this one stands out for all the right reasons.
If you want a Christmas present that reflects your values and delivers genuine joy, Promised Grounds Coffee is the perfect place to start.
“Just like we witnessed in 2008 and 2009, millions upon millions of Americans have gotten way too overextended.”
So banks and hedge funds selling $23 trillion of securitized debt between 1996 to 2006, and households in America, Europe and Asia lost $23 trillion in equity and assets between 2007 to 2009, aren’t relevant, SNYDER?!?!
Some false narratives being promoted here?!?!
He’s the master of FEAR PORN, if you notice he writes a few paragraphs of his own and then submits someone else’s work to legitimize his own. All of his articles are like that.
I like this author but he lost a lot of credibility with this article in my mind. Sub Prime melt down referred to home mortgages in the meltdown of 2008. He is speaking of Auto Loan here. Not the same.
Welcome to Biden’s Anerika