Auto lending trends highlighted in newest Economic Update

In the latest Economic Update, America’s Credit Unions Senior Economist Dawit Kebede walks through trends in credit union auto lending, the rising costs of car ownership, and how this impacts credit unions and their members.

“Higher vehicle prices push more buyers toward longer loan terms and larger loan amounts, both of which increase the probability of negative equity and eventual delinquency,” said Kebede. “They also push some buyers out of the new car market entirely, adding demand pressure to used vehicles and raising prices there as well.”

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