DETROIT (AP) — Auto loan terms are getting longer and leasing is on the rise as car buyers seek lower monthly payments.
Experian Automotive says the average new-car loan was 67 months in the first quarter. The average used-car loan was 62 months. Both are the highest since Experian began tracking them in 2006.
Long-term loans lasting 73 to 84 months accounted for a record 29.5 percent of all new-car loans. That was up 19 percent from the first three months of 2014. Long-term loans for used cars rose 13 percent, to 16 percent of all used-car loans.
The average new car loan was a record $28,711. The average monthly payment rose $14 to $488.
A record 31.5 percent of new cars were leased. The average monthly lease payment dropped $7 to $405.