After analyzing 162,000 credit reports of LendingTree users in the fourth quarter, data crunchers found that 2% of consumers with recently active auto loans had a default on record. It defined “recently active” as auto loans that are either active or closed within 90 days of the report date.

Defaults were most common between two and four years after the loan was issued, 37% occurring during that time period. LendingTree Chief Consumer Finance Analyst Matt Schulz said that's often because after a couple of years, repair costs can come into the picture and worsen tight finances. According to the report, the average monthly loan payment was $540 with an average original loan amount of $24,223.

“For most Americans, $540 a month is an awful lot of money, so it shouldn’t be surprising that many are struggling mightily with that size of payment,” Schulz said.

“However, when you factor in the high prices of vehicles today and the high rates that many shoppers face, especially those with imperfect credit, many Americans have little choice but to accept that monthly payment when financing their new or used car.”

Credit scores turned out to be a big commonality, almost 84% of consumers with defaulted loans scoring below 580, the average 529. Schulz said the rate is higher among deep-subprime borrowers because they are more likely to face financial struggles, not to mention the fact that loans for those with low credit scores come with higher interest rates and fees.

States with lower income and credit scores made the top 10 list for percentage of consumers with defaulted auto loans. Louisiana had the highest auto loan default rate at 5%, more than twice the national rate. On the flip side, Minnesota had the lowest auto loan default rate at 1.05%.