Interest Rates Drop for Second Consecutive Month, Federal Reserve Says
Consumer credit increased at an annual rate of 0.5 percent in April, according to the Federal Reserve’s monthly report. Non-revolving credit, which includes auto loans, rose at an annual rate of 7.1 percent in April. Revolving credit continued its month to month decline and fell at an annual rate of 12 percent. Interest rates on new-vehicle loans continued to drop and reached 4.13 percent in April, down from 4.28 percent in March, but still higher than 3.94 percent in January. Loan terms remained stable month to month at 62.8 months in April. This was slightly above the 62.5 months recorded in February and down from the 63.5 months posted in January. The loan-to-value ratio on new-car loans remained steady month to month at 88 percent in April, but was down from 89 percent in February and 90 percent in January. Amount financed also fell for the fourth-consecutive month to $27,797 in April, down from $27,912 in March. The amount financed in April was $243 less than the $28,040 recorded in February, and $1,582 less than the $29,379 posted in January.
More Industry

Penske Auto Group Deal a Record
The deal to take the dealership and transportation services company private sets a new pace for industry buy-sell transactions.
Read More →
War Toll a Damper on Used Auto Prices
Cox Automotive found wholesale depreciation to be elevated in September amid high fuel prices and this year's unusual hurricane season.
Read More →
Bridge the Maintenance Gap
With many drivers missing recommended maintenance, service departments offering transparency and efficiency have a better chance of reaching financially strained consumers.
Read More →
California Store Has New Owner
The longtime dealership in the northern part of the state is known for robust fleet sales and has served the state capital for 115 years.
Read More →
BMW Plant Pursues Cleaner Energy
BMW Group Plant Leipzig has utilized hydrogen to help power its production since 2013, but a new pipeline is planned to take it to another level.
Read More →
Auto Affordability Inches Up
The latest Cox Automotive and Moody’s Analytics index shows a slight increase in new-vehicle affordability despite high prices.
Read More →
Ohio Auto Group Under New Ownership
After 79 years with the Schluter family, Mansfield Auto Group has been acquired by Missouri-based Clement Auto Group.
Read More →
RV Group Expands Carolina Footprint
Blue Compass RV Columbia Northeast is the 13th RV dealership owned by Blue Compass in the Carolinas.
Read More →
Agent Acumen
An Agent Summit panel of people who’ve been supporting auto dealers for years gave both timely and timeless advice for those starting out or mulling the prospect.
Read More →
Missed Maintenance Creates Opportunity
As families get back on the road and into daily school routines, service drives have an opportunity to capture customers who are behind on recommended vehicle maintenance.
Read More →