Equifax Reports Total Auto Loans, Balances at Highest Levels in More Than 40
ATLANTA, Feb. 8, 2013
ATLANTA, Feb. 8, 2013 /PRNewswire/ --According to Equifax's latest National
Consumer Credit Trends Report, at the end of January 2013, the balances on
outstanding auto loans total $782 billion, the highest level since January
2009 for a 48 month high, while the total number of existing loans stands at
59 million, the highest level since July 2009 for a 42 month high. Equifax's
auto reporting includes both loan and lease type auto financing.
By source, loans funded through financial institutions such as banks, savings
and loans or credit unions, are at more than $372 billion, realizing a
60-month high and back to pre-recession levels. Similarly, at more than $409
billion, balances on loans funded by auto finance companies are at its highest
level in 46 months.
Delinquency rates within the auto portfolio are also improving, and by
year-end 2012 decreased by nearly 11% from same time a year ago, while auto
loan and lease losses in that same period dropped nearly 10%.
"Sales of new cars and light trucks are rising steadily, though they are still
well below pre-recession levels of roughly 17 million units," said Equifax
Chief Economist Amy Crews Cutts. "Yet auto lending, including leases, is now
back to pre-recession levels, driven in part by the very attractive interest
rates being offered on these loans and a gradual increase in willingness to
lend to less-than-perfect credit borrowers."
Other highlights from the most recent data include:
oThe most recent data shows that auto loans originated between
January-November 2012 totaled $387.7 billion, a six-year high and
representing nearly 46% of total consumer credit originated ($825 billion)
for that same time.
oTotal number of new auto loans originated between January-November 2012
was 19.9 million, an increase of more than 11% from January-November 2011
and matching a six-year high.
oNew auto loans funded in November 2012 by banks, savings and loans or
credit unions increased nearly 13% over November 2011 totals (749,800 to
oFor January-November 2012, auto lending to subprime borrowers (origination
risk scores less than 640) has increased more than 18% year-over-year,
from 5.1 million to 6.1 million.
About Equifax, Inc.
Equifax is a global leader in consumer and commercial information solutions,
providing businesses of all sizes and consumers with information they can
trust. We organize and assimilate data on more than 500 million consumers and
81 million businesses worldwide, and use advanced analytics and proprietary
technology to create and deliver customized insights that enrich both the
performance of businesses and the lives of consumers.
Headquartered in Atlanta, Equifax operates or has investments in 18 countries
and is a member of Standard & Poor's (S&P) 500® Index. Its common stock is
traded on the New York Stock Exchange (NYSE) under the symbol EFX. For more
information, please visit www.equifax.com.
Contact: Demitra Wilson, +1-404-885-8907, firstname.lastname@example.org, or Tim
Klein, +1-404-885-8555, email@example.com
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