The loans have been a significant factor of the record sales figures reached last year in the United States, data from Experian Automotive show.
With fuel prices hitting the lowest averages since the Great Recession and with the employment rate being at the highest levels in recent years in the US, it is no wonder that the auto sales have recorded the best ever figures in 2015. Not having to worry so much about their jobs, Americans spent more money than ever last year on buying cars, getting most of their funding through loans. This trend was pointed out in a report from Experian Automotive that shows that the US auto sales have been pushed by an impressive 987-billion-dollars loans balance only in the fourth quarter of 2015, according to the company’s most recent State of the Automotive Finance Market report. The data highlights an 11.5 percent increase over a year earlier and a record loan levels since Experian Automotive began tracking statistics in 2006.
Therefore, the current pace of the US auto market is depending on the Americans’ ability to make their monthly payments so that the industry is pushed forward, said Melinda Zabritski, senior director of automotive finance for Experian. “The boost in automotive sales has contributed to a strong quarter for all lender types across the industry,” she commented. “That said, while loan balances continue to rise and funding may be more easily attainable, it is critically important for consumers to stay on top of their monthly payments to keep the automotive market running on all cylinders.” And so far, the report shows that the number of buyers who do not pay their instalments have remained about the same.