The car loan industry is thriving [Video]
Posted on Wednesday, May 18, 2016 at 12:50:03 PM
Thanks to economic improvements across the nation that have re-ignited consumer spending, the automotive manufacturing and sales industries have been booming of late. With demand increasing for loans on both used and new cars, more players are getting into the lending game, taking automotive financing to the next level of size and power.
Radiant Insights released data that indicated the automotive financing market is in a state of rapid expansion, and forecast it to rise at a compound annual growth rate of 13 percent between 2014 and 2018. Not surprisingly, analysts with the firm brought up the fact that rates are about as low as they have ever been, and there are no signs they will begin to rise anytime before 2020.
This is leading more consumers to take out loans on their new and used cars, and propelling the financing aspect of automotive sales in the right direction. With cars staying on the road longer and sustaining their resale values during that time, and loan rates at historic lows, now is a great time to either buy or sell a vehicle.