December 9, 2023

Car Auto Finance

Car Auto Finance FOR Everyone

Used Auto Loan Payments Have Topped a Key Level

Buying a used car remains expensive even as supply chain bottlenecks have eased up, pushing the average loan amount to $28,506.

Consumers are still relying heavily on financing for the purchase of their cars and the average loan amount rose by 8.59% year-over-year, according to credit score company Experian.

There are some glimmers of light, though.

“Since the start of the inventory shortage, used vehicle values rose at a staggering rate, and that appears to be slowing, which is a positive sign for consumers looking to purchase a vehicle,” said Melinda Zabritski, senior director of automotive financial solutions at Experian. “While average loan amounts and monthly payments are continuing to grow, there are many contributing factors, such as the rise in interest rates.”