New vehicle financing is at the highest level since tracking began in 2006. A record 84.5 percent of consumers who acquired a new vehicle in the second quarter obtained either a loan or a lease to fund the purchase.
“Loans have become more accessible in recent years, and we’ve seen a steady growth in the percentage of consumers financing their vehicles,” said Melinda Zabritski, senior director of automotive credit for Experian Automotive.
Findings from the latest Experian Automotive State of the Automotive Finance Market report include:
• Of all new vehicles financed, leases accounted for an all-time high of 27.64 percent during the second quarter, up from 24.4 percent in Q2 2012.
• The differences in financing attributes, such as average monthly payment, credit score and financing term. For example, the average monthly lease payment was $408, compared with $457 on a new vehicle loan.
• Nonprime, subprime and deep-subprime new vehicle loans increased to 27.45 percent market share in Q2 2013, up from 25.41 percent in Q2 2012.
• For used vehicles, nonprime, subprime and deep-subprime loans accounted for 57.31 percent market share in Q2 2013, up from 56.46 percent in Q2 2012.
Learn more about the Experian Automotive 2013 Q2 findings.