Smart Borrower Blog

Archive for the ‘Auto Loans’ Category

First-Quarter Auto Payments Hit New All-time High

Jun 10th, 2020 @ 3:33 PM by Amber Nelson

Before the coronavirus spread completely to the U.S., auto loan totals and monthly payments reached new record highs in the 2020 first quarter, according to data from Experian. The average total new vehicle loan rose to $33,739 with an average monthly payment of $560. Used car loans also hit new highs with the total loan […]

more »

Consumer Credit is Stable…For Now

May 20th, 2020 @ 3:34 PM by Amber Nelson

The number consumer credit accounts in serious delinquency was relatively unchanged in April on a yearly basis, according to a new TransUnion report, but the numbers may not represent the full situation. During April 2020, credit card delinquencies of 90 days or more rose to 1.87%, from 1.78% the year before. Serious delinquencies on mortgages […]

more »

Auto Dealers Offer 7-Year Loans as Coronavirus Dampens Sales

May 13th, 2020 @ 6:15 PM by Amber Nelson

U.S. auto dealers are making longer loans than ever with huge incentives in order to lure in reluctant buyers during the COVID-19 crisis. Car sales fell 80% below their expected levels in March as shelter-in-place went into effect in many parts of the country.  To woo buyers back, dealers have been offering 0% interest loans […]

more »

Coronavirus Tanks Auto Sales

Apr 9th, 2020 @ 10:33 AM by Amber Nelson

Total U.S. car sales in March hit their lowest level in nearly a decade, according to Standard & Poor’s, another financial victim of the coronavirus shutdowns across the country. Sales fell 32% from February as many dealership showrooms were temporarily closed and most states were put on stay-at-home orders. The last week of March showed […]

more »

Auto Loans Top Record $1.33 trillion

Feb 25th, 2020 @ 1:27 PM by Amber Nelson

The total amount of car loan debt hit a new record high in the 2019 fourth quarter, according to the New York Federal Reserve, but delinquencies are also on the rise. Total outstanding U.S. balances on auto loans and leases rose to $1.33 trillion during the last quarter of 2019, up almost 5% from the […]

more »

Household Debt Hits Record High $14 Trillion

Feb 19th, 2020 @ 3:17 PM by Amber Nelson

Americans now owe a total of $14.15 trillion in household debt, according to the Federal Reserve, the highest level ever recorded. Household debt grew by $601 billion in 2019, at the fastest pace since 2007, right before the financial crisis. “Mortgage originations, including refinances, increased significantly in the final quarter of 2019, with auto loan […]

more »

Student Loan Debt Continues Record High Climb

Feb 5th, 2020 @ 10:56 AM by Amber Nelson

Total U.S. student loan debt has reached a new high of $1.56 trillion this year, according to data from the U.S. Department of Education. That debt load is spread out among 44.7 million borrowers, making for an average student loan debt of $32,731. College loan debt is now the second highest consumer debt category – […]

more »

Car Loan Interest Rates Fall to 22-Month Low

Jan 29th, 2020 @ 11:32 AM by Amber Nelson

The average interest rate on a U.S. car loans fell to its lowest point since February 2018 in December, according to automotive data-tracking company Edmunds. At the same time, prices on new vehicles have reached near-record highs. The annual percentage rate (APR) for a new-vehicle loan slipped to 5.4% in December, down from 5.5% in […]

more »

Credit Card Delinquencies Dip in 3rd Quarter

Jan 15th, 2020 @ 8:44 PM by Amber Nelson

American consumers did better at paying off their credit card debts in the 2019 third quarter, according to the American Bankers Association, but delinquencies rose on other loan categories like car loans and home equity loans. Delinquent credit card accounts made up just 2.96% in the third quarter, down from 2.98% and still well below […]

more »

Average Car Loan Amounts at New Record Highs

Dec 12th, 2019 @ 1:53 PM by Amber Nelson

Americans are paying more than ever before for new and used vehicles, according to Experian PLC, a result of pricier tech features in new cars. In the third quarter, the average amount for a new-vehicle loan jumped 5% in the past year to $32,480 while the average used-car loan rose 3% to $20,466. Total U.S. […]

more »