Banks are upping the length of car loan terms for consumers. Experian came out with new data showing popularity among buyers is growing. What was interesting with the data release is the consumer is also using this option on for used vehicles. This shows used car buyers are starting to not bring cash for down payment to the purchase like they used to.
The average new car loan has reached a record 67 months, reports Experian, the Ireland-based information-services company. The percentage of loans with terms of 73 to 84 months also reached a new high of 29.5% in the first quarter of 2015, up from 24.9% a year earlier.
H/T USA Today
Long-term used-vehicle loans also broke records with loan terms of 73 to 84 months reaching 16% in the first quarter 2015, up from 12.94% — also the highest on record.