U.S. Average Auto Loan Length Balloons to All-Time High

Taking Longer to Pay

How many months are you willing to stretch out your auto loan payments? For many Americans, the answer is getting longer and longer. Drivers are now spreading car loan payments over an average span of 69.3 months, up 6.8 percent from five years ago, an analysis from Edmunds shows. “It’s financially risky, leaving borrowers exposed to being upside down on their vehicles for a large chunk of their loans,” said analyst Jessica Caldwell, “but it’s also a sign that consumers are still confident enough in the economy to spend more on their vehicles and commit to paying for them longer.”

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