Auto Loan Access Keeps Falling
July conditions tighter for consumers despite average loan rate decline.

The reduced credit access came in all channels and lender types.
Pexels/Pixabay
Auto loans were harder to get for the fourth month in a row as approval rates declined and other measures made credit more challenging to come by in July.
Though the average loan rate fell by seven basis points for an 80-point decline since February, loan approval rates declined four percentage points year-over-year, according to Cox Automotive.
In addition to continued reduced approval rates, Cox blamed decreased subprime share and increased yield spreads.
The reduced credit access came in all channels and lender types, according to its report, which put Cox’s All-Loans Index down 1% to 92.9, or about a 2% year-over-year drop.
Loans with negative equity increased slightly for the month, actually helping credit availability. Term lengths, the percentage of down payments, and loans with terms longer than 72 months were flat, though the down payment percentage was up by 30 basis points year-over-year.
LEARN MORE: Is the Death Knell Being Sounded for Dealer Financing?
.
More Industry

More Than Specs
Today's car buyers want more than technical specs: they want to know the true value of the vehicle and how it fits into their lives.
Read More →
Q3 Auto Market Breakdown | Dealer Debrief
New-vehicle financing hit record highs in the third quarter, and negative equity continues to strain the market. Learn more in this week's Dealer Debrief!
Read More →
Automaker Advances Safety for All
A new report by Volvo Cars Safety Centre analyzed the impact of 50 years' worth of research in automotive safety development
Read More →
Kentucky Store Leaves Family
An auto group stretched across three states picked up the Lexington-area Ford fixture as its second store for the brand in the state.
Read More →
U.S. Auto Brands Falling Behind
Asian auto brands are outpacing U.S. brands in stateside new-vehicle sales. Learn more in this week's Dealer Debrief with Lauren!
Read More →
U.S. EV Market Update | Dealer Debrief
The U.S. electric vehicle market is slowly recovering from the loss of the federal EV tax credit last fall. Learn more in this week's Dealer Debrief!
Read More →
Auto Finance Numbers Set Records
Third-quarter data show how consumers are adapting to ongoing affordability challenges facing the new- and-used-vehicle markets.
Read More →
Auto Dealerships Can’t Afford to Ignore the 50+ Consumer
Younger generations may be all the buzz today when it comes to product marketing targets, but their older cohorts command a sizable share of purchasing power.
Read More →
Savings Seekers Boost U.S. Automakers’ Rivals
As consumers here look for ways to curb inflation’s affect on their budgets, brands offering plenty of alternative powertrains are closing in on home-grown OEMs.
Read More →
The Slow Electric Ascent
Second-quarter data show that the electric-vehicle market in the U.S. is inching up, the majority of states seeing a month-over-month increase.
Read More →