Fed Offers New Update on Auto Loans at Commercial Banks
WASHINGTON, D.C. — The Federal Reserve still hasn't restarted its monthly look at trends associated with new-vehicle loans generated by finance companies, but officials did offer August data about contracts from commercial banks.
The Fed determined the average interest rate on a 48-month, new-vehicle loan from a commercial bank came in at 5.94 percent. On average for the second quarter, the rate settled at 5.87 percent.
The last time officials shared information about auto loans by commercial banks was back in May. That's when APR was 5.81 percent.
However, data about interest rates, maturity, loan-to-value ratio and amount financed on deals from finance companies hasn't been available since April. Officials explained the statistical foundation for the series deteriorated, and they were in the improvement process.
The Fed wrapped up its latest update by noting consumer credit decreased at an annual rate of 4.5 percent in August.
Officials added revolving credit decreased at an annual rate of 3.5 percent, and non-revolving credit decreased at an annual rate of 5.25 percent.