Federal Reserve: Interest Rates Increase Slightly in November
Consumer credit dropped 8.5 percent in November 2009, the lowest figure of the year, according to the Federal Reserve’s monthly report.
The interest rate on 48-month new-car loans originated at commercial banks was 6.55 percent, down slightly from the 6.61 percent average recorded in the third quarter 2009. The interest rate on new-car loans originated at auto finance companies increased slightly from 3.42 percent in October 2009 to 3.73 in November 2009.
Loan terms dropped slightly from 64.4 months in October to 63.4 months in November. The loan-to-value ratio on new-car loans dipped to 91 percent in November, a return to its September level, but down from 93 percent in October.
The amount financed fell from $32,223 in October to $30,506 in November, a difference of $1,717.
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