SCHAUMBURG, Ill. -

What some repossession and recovery observers probably figured was coming with more auto paper being written than ever before has come about.

Repo rates are on the rise — and by a significant level.

According to its latest State of the Automotive Finance Market report, Experian Automotive indicated the overall automotive repossession rate spiked more than more than 70 percent during the second quarter compared to a year earlier. The Q2 repo rate came in at 0.62 percent.

Further findings from the report showed that, while still at near historic lows, 60-day loan delinquencies increased by 7 percent to 0.62 percent in Q2 of this year from 0.58 percent the previous year.

Additionally, 30-day delinquencies showed a slight increase, going from 2.38 percent to 2.39 percent over the same time period. Moreover, the total balance of loans that are 60-days delinquent has increased by $859 million since Q2 2013, while the balance of 30-day delinquent loans has increased by $2.8 billion from a year earlier.

“The rosy glow of perfect payment performance in the automotive space is beginning to tarnish,” said Melinda Zabritski, senior director of automotive finance for Experian Automotive.

“We’re starting to see a slight uptick in the number of consumers struggling to make their automotive payments on time; however, we have to keep in mind that these percentages are still extremely low,” Zabritski continued. “We’ll want to keep an eye on how consumers pay their bills in the coming months, as it may dictate the availability of credit in the future.”

Experian also mentioned the average charge-off amount in Q2 rose to $8,149, up $932 from the previous year.

With those metrics in mind, some institutions are already making moves to counter the rise in repossessions.

For example, Mid American Credit Union — which is based in Wichita, Kan., and has more than two dozen branches for a membership base in 18 counties in the Sunflower State — is offering member buyers who purchase a repossessed vehicle deferred payments for 90 days.

Discussion about what captives, credit unions and finance companies are doing about repossessions and more will be a part of the Re3 Conference, which takes place halfway through Used Car Week. The Re3 Conference is set for Nov. 12 at the Red Rock Casino, Resort and Spa in Las Vegas.

Along with presenting sponsors Digital Recognition Network and Primeritus Financial Services, the Re3 Conference is set to highlight presentations and panel discussions on a wide array of topics associated with the repossession, recovery and remarketing of vehicles. Executives from DRN, Primeritus, Santander Consumer USA, van Wagenen Financial Services, MVTRAC, American Lending Solutions and more are all on tap to be a part of the event.

For more details about the Re3 Conference as well as the opportunity for registration discounts, go to re3.autoremarketing.com.