In the third quarter of 2014, 30- and 60-day automotive-loan delinquencies grew 3.7% and 8.6%, respectively, from the previous year. The change was due to growth in subprime loans.
Experian Automotive found that the longer consumers own their vehicles, the less likely they are to purchase their next vehicle from the same brand.
The percentage of new-vehicle loans made to credit-challenged car buyers was at 15.1% in the second quarter of 2014, down from 22.1% in the same period in 2013, according to Experian Automotive.
More consumers are sticking with their older model vehicles, with vehicles predating the 2001 model year accounting for more than 28.3% of all vehicles on the road during the opening quarter of 2014, according to Experian Automotive.
Auto Dealer TV's Jennifer Nebrich brings you the latest on May sales and auto finance trends for the first quarter. Also this week, the NADA issues a report on the cost of keeping up with federal regulations, while the FTC fines CPS $5.5 million.
Open automotive loan balances reached a new high in the end-of-year quarter, while delinquencies stayed below prerecession levels, according to Experian Automotive’s fourth-quarter data.
media brand
The secure and easy all-access connection to your content.
Bookmarked content can then be accessed anytime on all of your logged in devices!
Already a member? Log In