Record-high new-car prices are leading more American buyers to extend repayment periods, with seven- and even eight-year auto loans rapidly becoming the norm. Research firm Edmunds reports that 84-month loans made up 21.6% of all new-vehicle financing in the latest quarter, overtaking the share of traditional 60-month contracts for the first time. The longer terms help buyers keep monthly payments in check as sticker prices on models such as the Honda Pilot, which can top $45,000, push vehicles out of reach for many households. While extended maturities lower upfront costs, they add thousands of dollars in interest, leave borrowers owing more than their cars are worth for longer, and raise the likelihood of defaults—risks that could ripple through dealers, lenders and the broader auto market if economic conditions worsen.