Tag Archives: auto credit express

Interest Rates Remain Low as Auto Sales Increase

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Comerica Bank releases a report every three months known as the “Auto Affordability Index.”  What the report does is take the median income for a family in the US and the average price of a new car and compares them to see how many weeks it would take to finance the purchase.  The most recent one brings good news to people who are having a difficult time due to having bad credit.

Auto Credit Express breaks down the report in their latest blog.  An averaged-priced new vehicle took 23.6 weeks of income to buy.  Buyer spent $900 more on new vehicles in the fourth quarter of 2012 than in the third of the same year.

Even though there was a rise of late in prices, sales continue to be very good.  Some of that is due to an up-tick because of Hurricane Sandy forcing many drivers back into dealership to replace destroyed cars.

What that means is that demand is rising and so will be interest rates.  As of right now, you can still get yourself a great deal.  If you’ve needed to purchase a vehicle but have been holding off, now is the time to take advantage of the affordability before it goes up.

Contact us at Bayside Chrysler Jeep Dodge and see why we love to say yes.  We’ll help you find the new or pre-owned vehicle that suits your life-style.  Follow us on Facebook and Twitter for all our monthly vehicle incentives.

Auto Loans Surge As Market Recovers

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ID-100130602What a difference four years can make.  Not that long ago, with the economy in the gutter due to the recent collapse, car buyers were unable to find banks to fund them the money needed to purchase.  Since then, the economy has bounced back and so has the lending.  What was a mere fantasy years ago is now a better reality with interest rates that are finally returning to where they were before the recession.

Bloomberg writes that lenders are very optimistic about the year to come.  In February, the U.S. light-vehicle sales had an up-tick of 3.7 percent.  “The availability of consumer credit is plentiful, “says Kurt McNeil, the VP of US sales operation for GM.

Low interest rates and the availability of credit are the biggest reasons that the US auto sales have gotten a boost.  It rose 13 percent just last year which marks that as the largest annual increase since 1984.  Another reason is that employment has increased, which has caused dealers to increase their leasing, knowing that buyers will be better on paying off loans.

The market is recovering and car buyers are finding the necessary loans readily available.  Interest rates are low and are coming down to the point of where they were before the recession took its toll.  All around the nation, banks and lenders are doing their best to grab attention to let buyers know that dealerships are open for business in the best way.

That includes Bayside Chrysler Jeep Dodge.  Serving the Queens, Bronx, Manhattan, and Long Island Area with quality customer care and experts that work diligently to get car buyers the loans they need.  We love to say yes.  Like us on Facebook and follow us on Twitter for tips on purchasing a vehicle and for special monthly offers.

Auto-Loans Market Healthy Despite Rise in Delinquencies

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ID-10056516Today, Experian released their analysis of the current automotive credit trends for the fourth quarter of 2012.  What they found was very interesting considering the upward state the industry has been in as of late.

For the first time in quite a while, there was a rise in delinquencies.  Being late by 60-days increased from the same quarter in 2011.  It rose from .72 to .74 in Q4 of 2012.  That kind of increase in loan delinquencies hasn’t occurred since 2009.

Still, Experian assures that it’s nothing to worry about.  “Overall, our Q4 analysis shows that the auto lending market is extremely health,” said Melinda Zabritski, Experian Automotive’s direct of automotive credit.  “Of course you never want to see an increase in delinquencies, but when you take a step back and look at the market compared to where it was three years ago, we still have remarkable stability.”

A way to look at this increase is due to more loans being issued.  When the finical crisis hit, banks reeled in their lending in fear of the market.  Now that things have finally rebounded for the better, banks have reopened that door and are letting people in.  There’s been a rapid increase in the amount of people asking for a receiving auto loans.  In fact, the market of auto-loans has been one of the fastest growing parts of consumer-finance recently.

Interested in getting an auto-loan for a vehicle?  Contact us at Bayside Chrysler Jeep Dodge and find out how we can help.  We love to say yes!  Browse our new and pre-owned inventory online.  Like us on Facebook and follow us on Twitter for more news and monthly offers.