SCHAUMBURG, Ill. — Experian Automotive discovered lenders continued to "increase their appetite for risk" as second-quarter new-vehicle loans for customers with credit outside of prime increased by 22.4 percent when compared to the previous year.

In the second quarter, Experian indicated 22.29 percent of all new-vehicle loans went to customers in the non-prime, subprime and deep subprime categories, increasing from 18.21 percent during the second quarter of last year.

Analysts noticed the largest percentage increase in new-vehicle loans was in the category with the highest risk — deep subprime — which jumped 44.1 percent, moving from 1.48 percent of all new-vehicle loans in the second quarter of last year to 2.13 percent during the same quarter this year.

Experian shared additional findings from its second-quarter automotive credit trends report on Tuesday. The report showed that the average customer credit score for both new- and used-vehicle loans dropped by 10 and eight points, respectively.

For new-vehicle loans, the average fell from 772 in the second quarter of last year to 762 in the second quarter of this year. For used-vehicle loans, the average fell from 679 to 671.

"Even with a tepid economic recovery in the first half of the year, automotive lenders were willing to increase their level of risk," explained Melinda Zabritski, director of automotive credit for Experian Automotive.

"This was good news for automotive manufacturers, as nearly half of all consumers fall into non-prime, subprime and deep subprime risk categories," Zabritski continued. "Providing loans to these risk tiers opens the market to significantly more prospects."

In other elements of its findings, Experian determined the total dollar volume of auto loans that were 30- or 60-days delinquent dropped from nearly $21 billion to $16.9 billion during the second quarter.

Analysts pointed out 30-day delinquencies dropped by 10.39 percent from 2.89 percent to 2.59 percent, while 60-day delinquencies declined by 14.46 percent from 0.71 percent to 0.6 percent.

A few other noteworthy points Experian shared included:

—Quarterly repossession rates dropped by 4.2 percent from 0.62 percent to 0.59 percent.

—The average loan amount for a new vehicle was up $17 from $25,223 to $25,240.

—The average loan amount for a used vehicle jumped $476 from $16,586 to $17,062.

Analysts reiterated that Experian's quarterly credit trend analysis features market reporting data and analysis from the firm's AutoCount Risk Report, which analyzes auto lending markets based on a uniform measurement of credit quality that segments markets by geography, credit score and vehicle registrations, among other factors.

Experian went on to mention its analysis also incorporates data from the Experian-Oliver Wyman Market Intelligence Reports, which provide topical, quarterly analysis, peer benchmarking options and commentary on key issues facing the financial services industry.

For more information on Experian's AutoCount Risk Report, visit https://www.autocount.com.

Editor's Note: Check Thursday's edition of SubPrime Auto Finance News Update for more details from Experian on second-quarter trends, including top lenders by volume and more.