Used Auto Loan Payments Have Topped a Key Level

Buying a used car remains expensive even though bottlenecks in the supply chain have eased, bringing the average loan amount to $28,506.

Consumers still rely heavily on financing for their car purchases and the average loan amount increased by 8.59% year-on-year, according to credit scoring company Experian.

However, there are some glimmers of light.

“Since the start of the inventory shortage, used vehicle values ​​have risen at an astounding rate, and that appears to be slowing down, which is a positive sign for consumers looking to purchase a vehicle,” said Melinda Zabritski, director senior automotive financial solutions at Experian. “While average loan amounts and monthly payments continue to grow, there are many contributing factors, such as rising interest rates.”


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