Hawaii has the second-highest automobile loan debt in the nation — at $14,658 remaining per loan — but when it comes to making payments on time, car owners here are getting better.

The percentage of Hawaii borrowers who were 60 days or more behind on their auto loans fell in the second quarter for the seventh straight decline, according to data released Tuesday by TransUnion, one of the nation’s three major credit reporting agencies.

The number of borrowers behind on their loans fell to 0.40 percent of all borrowers last quarter compared with 0.76 percent a year earlier. The state’s year-over-year improvement ranked third nationally behind Idaho and Utah.

Car owners in Hawaii owed an average $14,658 on their vehicles in the second quarter, up 3.1 percent from $14,216 in the year-earlier period. Hawaii was No. 2 in the nation. The highest auto debt was in Washington, D.C., at $15,128, while the national average was $12,689.

"Hawaii consumers, like many in the country, continue to take charge of their household debt," said Peter Turek, automotive vice president in TransUnion’s financial services business unit.

Nationwide the delinquency rate last quarter was 0.44 percent compared with 0.53 percent in the year-earlier period.

While more Hawaii borrowers were paying off their loans on time, more people were taking out new loans, bringing the number of loans in the second quarter to near its level in 2008 before the economy took a dive.

"The number of new auto loans opened in Hawaii during the second quarter of 2011 is less than 3 percent off of the numbers seen in the second quarter of 2008," Turek said.

Still, the additional new loans haven’t translated into increased sales. New vehicle sales in the state fell nearly 2 percent in the second quarter from a year earlier due to inventory storages from the Japanese earthquake and tsunami, the slow economic recovery and higher fuel prices, according to the Hawaii Auto Outlook report that came out in July. The report revised lower its forecast for the year to a 4.2 percent increase over 2010 compared with its 6 percent projection in April.

Turek said national auto delinquency rates are at historic lows and are at half the levels found in credit card nonpayment rates and more than 10 times lower than seen in the mortgage sector.

"Lenders that have money to lend are attracted to auto finance as it is a relatively low-risk short-term asset, and auto loan delinquencies are expected to remain at historically low levels through the end of the year," he said. "Consumers should benefit in the form of competitive offers, making purchase decisions easier and more affordable."

Turek said as more auto loans are opened by consumers, downward pressure is put on auto delinquency rates.

"A consumer’s ability to repay is also helped by the recent low interest rates for new and used car loans, making purchase decisions and monthly payments more affordable," he said.